Blackstone Enters Events & Hospitality Business with $4.6B Cvent Acquisition

An affiliate of private equity funds managed by Blackstone is taking Cvent Holding Corp, the world’s largest event technology company, private for approximately $4.6 billion after a reported $3.9 billion initial offer last month was rejected, as the alternative assets manager makes a bullish bet on the recovery of events and travel. 

Cvent investors will receive $8.50 per share, a premium of about 29% from January 30, a day before reports of a potential deal emerged. The transaction is expected to close in the middle of this year. 

Blackstone has received a $1 billion credit facility as part of the financing. 

“The continued events and travel recovery is one of Blackstone’s highest-conviction investment themes. Given our extensive experience in the hospitality, events and real estate sectors, we believe Blackstone is well positioned as a growth partner for this exceptional business,” said David Schwartz, a Senior Managing Director at Blackstone. 

A wholly owned subsidiary of the Abu Dhabi Investment Authority, which has just taken a minority interest in the Apollo-Univar deal, will be a minority investor alongside Blackstone. 

Tysons, VA-based Cvent was valued at $5.3 billion in 2021 when Vista Equity Partners took the company private a few years ago for $1.65 billion before returning to the public markets through a special purchase acquisition company a little more than a year ago. 

Vista will retain majority interest in Cvent and has agreed to use part of its proceeds to invest in non-convertible preferred shares in the deal’s financing.