Video-based customer insights platform UserTesting has announced that it has entered into a definitive agreement to be acquired by Thoma Bravo, a software investment firm, and Sunstone Partners, a growth equity firm. The all-cash transaction is valued at approximately $1.3 billion.
The acquisition will also merge UserTesting with UserZoom, a company Thoma Bravo acquired majority control of in April 2022. Following the merger, UserTesting’s CEO, Andy MacMillan, will lead the combined company.
“We believe the combination of UserTesting and UserZoom will unlock tremendous value for our customers by further integrating and expanding the suite of research methods, testing types, and measurement options available—all while making the voice of the customer and human insight more accessible across an organization and easily integrated into their processes and workflows,” said Andy MacMillan, CEO of UserTesting.
In addition, the combined company will benefit from the operating capabilities, capital support, and industry expertise of its investors - and now majority owners - Thoma Bravo and Sunstone Partners.
“We live in a digital experience-first world, one where the quality of the user and customer experience will distinguish the winners from the losers. The combination of UserTesting and UserZoom's solutions will help democratize experience insights to enable companies to make the right decisions, be innovative, and ultimately deliver experiences their customers love,” said Alfonso de la Nuez, Co-Founder and Chief Visionary Officer of UserZoom.
The companies’ combined offering will create an end-to-end solution to help organizations drive revenue, manage risk, and deliver better customer experiences.
“Our acquisition of UserTesting is a testament to our belief that customer experience is mission-critical to organizations, and the combined company will be well-positioned to further market expansion, accelerate innovation, and provide even greater insights to its customers. We look forward to leveraging the deep experience we have cultivated in the customer experience and user experience space to help the combined company capture the tremendous growth opportunities ahead,” said A.J. Rohde, a Senior Partner at Thoma Bravo.
The deal is expected to close in the first half of 2023. Upon completion of the transaction, UserTesting’s stock will be removed as the company goes private.About a year ago, Thoma Bravo acquired Medallia in an all-cash transaction valued at $6.4 billion.