Investment to support newly private company's
plans for product innovation and worldwide growth
SALT
LAKE CITY, Nov. 13, 2024 /PRNewswire/ -- Instructure
Holdings, Inc. ("Instructure"), a leading learning ecosystem, today
announced the close of its acquisition by investment funds managed
by KKR, a leading global investment firm, and Dragoneer, a
growth-oriented investor, for $23.60
per share in an all-cash transaction valued at an enterprise value
of approximately $4.8 billion. With
the completion of the transaction, Instructure's common stock has
ceased trading and the company is no longer listed on the New York
Stock Exchange.
Instructure is a leading global provider of learning management,
education-tech effectiveness and credentialing solutions. The
Instructure ecosystem of products enhances the lives and outcomes
of students, professional learners and educators. The company has
impacted approximately 200 million learners across more than 100
countries and boasts a thriving community of over 1,000 partners.
Together with its expansive network of educators, learners and
partners, the company is committed to broadening its platform and
delivering $1B in revenue by
2028.
"We could not be more excited to begin the next phase of our
journey as the mission-critical educational operating system that
schools, institutions and companies rely on to improve outcomes for
lifelong learners," said Steve Daly,
CEO of Instructure. "Having KKR's support will help us double down
on core markets, scale our global reach at a faster pace and unlock
new opportunities as we continue to innovate and enhance Canvas and
the Instructure Learning Ecosystem. Together, we expect to build on
our position as the education ecosystem that powers learning for a
lifetime and turns education into opportunities for all learners
globally."
"Instructure has built a strong reputation as a true leader and
partner in the learning community," said Webster Chua, partner at KKR. "We look forward
to working closely with Steve and the team to leverage KKR's global
platform to continue growing and scaling the Instructure
ecosystem."
"Instructure reminds us of those generational vertical software
companies with all the key ingredients: strong customer love,
mission criticality, and a commitment to product superiority," said
Christian Jensen, Partner at
Dragoneer Investment Group. "Together with KKR, we are fully
supportive of Instructure's commitment to having a profound and
transformative impact on the global education market."
ADVISORS
J.P. Morgan Securities LLC acted as the lead financial advisor,
Macquarie Capital also acted as a financial advisor to Instructure
and Kirkland & Ellis LLP is serving as the legal advisor to
Instructure. Morgan Stanley & Co. LLC, Moelis &
Company LLC and UBS Investment Bank acted as financial advisors and
Simpson Thacher & Bartlett LLP acted as legal advisor to
KKR.
ABOUT INSTRUCTURE
Instructure powers the delivery of education globally and
provides learners with the rich credentials they need to create
opportunities across their lifetimes. Today, the Instructure
ecosystem of products enables educators and institutions to elevate
student success, amplify the power of teaching, and inspire
everyone to learn together. With our global network of learners,
educators, partners and customers, we continue to deliver on our
vision to be the platform that powers learning for a lifetime and
turns that learning into opportunities. We encourage you to
discover more at www.instructure.com.
ABOUT KKR
KKR is a leading global investment firm that offers alternative
asset management as well as capital markets and insurance
solutions. KKR aims to generate attractive investment returns by
following a patient and disciplined investment approach, employing
world-class people, and supporting growth in its portfolio
companies and communities. KKR sponsors investment funds that
invest in private equity, credit and real assets and has strategic
partners that manage hedge funds. KKR's insurance subsidiaries
offer retirement, life and reinsurance products under the
management of Global Atlantic Financial Group. References to KKR's
investments may include the activities of its sponsored funds and
insurance subsidiaries. For additional information about KKR &
Co. Inc. (NYSE: KKR), please visit KKR's website at
www.kkr.com.
ABOUT DRAGONEER
Dragoneer Investment Group is a growth-oriented investment firm
with over $23 billion under
management and a flexible mandate to invest in high-quality
businesses in both the public and private markets. For over a
decade, Dragoneer has partnered with management teams to grow
exceptional companies, characterized by sustainable differentiation
and superior economic models. Dragoneer looks to partner with the
best businesses globally and has been an investor in companies such
as Airbnb, AmWINS, Atlassian, Datadog, Dayforce, Doordash, Duck
Creek, Livongo, Nubank, PointClickCare, Procore, ServiceTitan,
Slack, Snowflake, Spotify, Square, Tekion, Uber, and others.
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements. All
statements other than statements of historical fact, including
statements about the potential benefits of the
completed acquisition of Instructure Holdings, Inc. (the
"Company"), are forward-looking statements. Forward-looking
statements give the Company's current expectations, estimates
and projections about the potential benefits of the
transaction, its business and industry, management's beliefs
and certain assumptions made by the Company regarding its
financial condition, results of operations, plans, objectives,
future performance and business, all of which are subject to
change. You can identify forward-looking statements by the fact
that they do not relate strictly to historical or current
facts. These statements may include words such
as "anticipate," "estimate," "expect," "project," "plan,"
"intend," "believe," "may," "will," "should," "can have,"
"likely" and other words and terms of similar meaning. These
forward-looking statements are based on management's beliefs, as
well as assumptions made by, and information currently
available to the Company.
Because such statements are based on expectations as to future
financial and operating results and are not statements of
fact, actual results may differ materially from those projected
and are subject to a number of known and unknown risks and
uncertainties, including: (i) the Company's ability to
implement its business strategy following completion of the
acquisition; (ii) ongoing litigation and potential further
litigation relating to the acquisition, including the effects
of any outcomes related thereto; (iii) risks that disruptions from
the acquisition will harm the Company's business, including
current plans and operations; (iv) the effect of
the announcement of the completion of the acquisition on the
Company's business relationships, operating results and
business generally; (v) the Company's ability to retain, hire and
integrate skilled personnel including the Company's senior
management team and maintain relationships with key business
partners and customers, and others with whom it does business, in
light of the acquisition; (vi) risks related to diverting
management's attention from the Company's ongoing business
operations; (vii) unexpected costs, charges or expenses resulting
from the acquisition; (viii) the impact of adverse general and
industry-specific economic and market conditions; (ix) the
impact of inflation, rising interest rates, and global conflicts;
and (x) risks that the benefits of the acquisition are not
realized when and as expected. The Company cautions you that
the important factors referenced above may not contain all of the
factors that are important to you. In addition, the Company
cannot assure you that the Company will realize the results or
developments expected or anticipated or, even if substantially
realized, that they will result in the consequences or affect
the Company or the Company's operations in the way the Company
expects. The forward-looking statements included in this press
release are made only as of the date hereof. The Company
undertakes no obligation to update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise, except as otherwise
required by law.
CONTACT:
Instructure:
JP Schuerman
Corporate Communications
(801) 658-7525
jp.schuerman@instructure.com
KKR:
Julia Kosygina or Lauren
McCranie
(212) 750-8300
View original
content:https://www.prnewswire.com/news-releases/kkr-and-dragoneer-complete-acquisition-of-instructure-302304702.html
SOURCE Instructure Holdings, Inc.