Global digital consultancy Perficient, Inc. has announced its agreement to be acquired by EQT Asia, an affiliate of BPEA Private Equity Fund VIII, in a landmark all-cash transaction valued at approximately $3.0 billion. The purchase price represents a significant premium to Perficient’s closing stock price and 30-day average share price, providing substantial value for stockholders.
Perficient’s Chairman, Jeffrey Davis, explained the decision, stating that the acquisition was the result of a comprehensive review to maximize value for the company and its shareholders. He expressed pride in Perficient’s role in delivering innovative solutions for its clients, and highlighted EQT’s vision as being aligned with Perficient’s global growth journey.
Hari Gopalakrishnan, Partner within EQT Private Capital Asia, expressed confidence in Perficient’s capabilities and their position in the marketplace. He stated that the partnership would help strengthen Perficient’s unique position and drive further growth.
Subject to customary closing conditions and regulatory approvals, the transaction is expected to be finalized by the end of 2024. Upon completion, Perficient will become a private company, with CEO Tom Hogan and the current management team remaining in place.
This merger marks a significant milestone for Perficient and highlights its ongoing commitment to providing cutting-edge digital solutions to its clients. By leveraging EQT’s substantial investment expertise and Perficient’s digital consulting capabilities, the partnership aims to accelerate growth and strengthen Perficient’s market presence.
Perficient also announced its first quarter 2024 financial results, which can be found on the company’s website. As a result of the pending acquisition, the scheduled conference call for discussing these results has been canceled.
BofA Securities and Wells Fargo are serving as financial advisors to Perficient, while Kirkland & Ellis LLP is acting as its legal advisor. J.P. Morgan and TD Securities are advising EQT on the acquisition, with Simpson Thacher & Bartlett LLP serving as legal advisor.
About Perficient:
Perficient is a leading global digital consultancy that helps enterprises and brands exceed customer expectations. With a focus on digital transformation, Perficient provides innovative solutions to drive growth and outpace the competition.
About EQT:
EQT is a purpose-driven global investment organization with significant assets under management. Focused on supporting sustainable growth and operational excellence, EQT’s investment portfolio spans multiple regions and industries.
This press release contains forward-looking statements that are subject to certain risks and uncertainties. Actual results may differ materially from those projected in the forward-looking statements.
In addition to the information provided in the article, there are several key facts, market trends, forecasts, and challenges associated with the Perficient and EQT Asia merger.
1. Market Trends:
– Growing Demand for Digital Consultancy: The digital consultancy industry has been experiencing significant growth, driven by the increasing need for enterprises to embrace digital transformation and enhance customer experiences.
– Private Equity Investment in Tech Companies: Private equity firms are actively investing in technology-related companies, capitalizing on the vast opportunities presented by the digital economy.
– Consolidation in the Industry: The Perficient and EQT Asia merger is part of a broader trend of consolidation within the digital consultancy sector, as companies seek to strengthen their market presence and expand their service offerings.
2. Forecasts:
– Increased Market Share: Through the merger, Perficient aims to leverage EQT Asia’s investment expertise to accelerate its growth and expand its market share in the global digital consultancy market.
– Enhanced Capabilities: The partnership with EQT Asia is expected to provide Perficient with additional resources and financial support, enabling the company to develop and deliver more innovative solutions to its clients.
3. Key Challenges and Controversies:
– Regulatory Approvals: The completion of the transaction is subject to customary closing conditions and regulatory approvals. Potential delays or complications in obtaining these approvals may impact the timeline of the merger.
– Integration of Operations: Merging two companies with different cultures and operating systems can pose challenges in terms of integration and alignment, potentially affecting productivity and client relationships.
Advantages of the Perficient and EQT Asia merger include:
– Access to Resources: Perficient will have access to EQT Asia’s significant assets under management, providing them with resources and support for growth initiatives.
– Global Expansion: EQT Asia’s global presence and network can help Perficient expand its reach into new markets, increasing its international footprint.
– Financial Backing: The all-cash transaction valued at approximately $3.0 billion provides a substantial premium to Perficient’s shareholders, ensuring significant value for stockholders.
Disadvantages of the merger:
– Integration Challenges: Merging two companies often involves challenges in terms of integrating operations, systems, and personnel, which may impact efficiency and productivity during the transition period.
– Potential Cultural Differences: Differences in corporate culture between Perficient and EQT Asia may need to be carefully managed to ensure a smooth integration and alignment of goals and values.
For more information, you can visit Perficient’s official website at https://www.perficient.com.
Source: Press Release – Perficient to be Acquired by EQT Asia in Historic Merger