Diligent Agrees To Be Acquired By Insight Venture Partners In $624 Mln Deal

(RTTNews) - Diligent Corp. (DIL.NZ), a provider of secure online collaboration and document sharing solutions for boards, committees and leadership teams, said that it agreed to be acquired by Insight Venture Partners for $4.90 in cash, in a transaction valued the company at about $624 million.

Diligent Board of Directors has unanimously approved the transaction and resolved to recommend that stockholders vote in favor of the agreement. The transaction represents a 31% premium over the closing share price of $3.741 on February 12, 2016.

Brian Stafford, Chief Executive Officer and President of Diligent, and the current senior management team will continue to lead the business after the transaction closes.

The transaction is subject to the approval of a majority of the outstanding shares of Diligent common stock and preference shares, voting as one class; the approval of at least 60% of the outstanding Diligent preference shares, voting separately; regulatory approvals and other customary closing conditions, including that the existing directors will resign on closing.

The holders of Diligent's preference shares, including Spring Street Partners, L.P., Diligent's largest shareholder, have entered into voting agreements in support of the transaction.

The transaction is expected to close in the second quarter of 2016. Diligent will be a privately-held company upon closing.

As previously announced, Diligent will release its financial results for the Fiscal Year ended December 31, 2015, on Monday, February 29, 2016 NZDT.