On Friday, Norwegian ed-tech company Kahoot announced that it has accepted a voluntary cash offer of NOK 17.2 billion ($1.72 billion) from a group of investors led by the private equity division of Goldman Sachs Asset Management. This investment highlights the growing significance of digital learning tools in education across the globe. With substantial financial support, Kahoot aims to expand its worldwide presence and improve its innovative learning platform to cater to its diverse users.
To facilitate this investment, Goldman Sachs has established a Norwegian entity called Kangaroo, which will collaborate with other investors, including General Atlantic, Kirkbi Invest, Glitrafjord, and more. Kangaroo seeks to foster growth and expansion of sustainable industries in Norway by combining resources and expertise from its diverse investor base. This joint effort allows participants to seize new opportunities while minimizing risks, propelling Norway towards a more sustainable and robust economy.
Following this announcement, Kahoot’s stock price increased by over 10%, reaching NOK 34.5 and approaching the proposed NOK 35 per share rate. Investors demonstrated greater confidence in Kahoot’s growth potential and long-term strategy after the stock price surge. The positive market response to the acquisition news reflects high expectations for the future joint performance of Kahoot and its target company.
The company’s board has unanimously supported the suggested transaction. With board approval, the company is now ready to proceed with the proposed deal, expected to generate significant value for both Kahoot and its shareholders. The next stage will involve finalizing transaction details, ensuring efficient execution, and meeting all necessary legal and compliance requirements.
Frequently Asked Questions
What is the value of the offer received by Kahoot from the investor group led by Goldman Sachs?
Kahoot has received a voluntary cash offer of NOK 17.2 billion ($1.72 billion) from the investor group led by the private equity division of Goldman Sachs Asset Management.
What is the purpose of this investment?
The investment aims to support Kahoot in expanding its worldwide presence and improving its innovative learning platform to cater to its diverse users.
What is the role of Kangaroo in this investment?
Kangaroo, a Norwegian entity established by Goldman Sachs, will collaborate with other investors to foster growth and expansion of sustainable industries in Norway. This joint effort will allow participants to seize new opportunities, minimize risks, and help propel the Norwegian economy.
How did the market respond following the announcement of the acquisition?
Kahoot’s stock price increased by over 10%, reaching NOK 34.5 and approaching the proposed NOK 35 per share rate, indicating greater confidence in the company’s growth potential and long-term strategy.
What is the next stage in finalizing the transaction?
The next stage involves finalizing transaction details, ensuring efficient execution, and meeting all necessary legal and compliance requirements, after which the proposed deal will proceed with the unanimous support of Kahoot’s board.
First Reported on: reuters.com
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