Bandwidth, a leading enterprise cloud communications company announced it has signed a definitive agreement to acquire Voxbone, an international enterprise cloud communications leader, for an enterprise value of €446 million EUR, representing a multiple of approximately six times anticipated Voxbone 2020 revenue. Voxbone has been majority-owned by Vitruvian Partners, a leading growth- and technology-focused investment firm headquartered in London, UK, since 2015. Voxbone is a leading European-based communications platform and IP voice network. Since 2005, their mission has been to simplify global communications for businesses by providing compliant, quality coverage that can be integrated with any contact center, conferencing platform or voice application.
“We are bringing together leading domestic and international enterprise cloud communications platforms to supercharge global cloud communications for our customers. Bandwidth’s deep US presence and Voxbone’s world-wide platform across 60+ countries will serve enterprises in countries representing 93% of global GDP. Today’s announcement accelerates our international strategy by several years. Our current and future customers will benefit from using a unified software platform, network, and team to serve people around the world,” said David Morken, Co-founder, Chairman, and CEO of Bandwidth. “Voxbone’s platform is trusted by approximately 900 enterprises, including brands like Uber, Zoom, 8×8, and Skype. We’re thrilled to welcome this pioneering team to Bandwidth and congratulate them on their tremendous growth.”
Recommended AI News: Verizon Accelerates 5G R&D with 5G Innovation Hub at University of Illinois Research Park
Combination to Supercharge Cloud Communications:
Through this combination, Bandwidth will play an even greater role in leading the transformation of enterprise cloud communications, enabling companies around the world to develop, launch, and hyper-scale applications and customer experiences using rich voice and text.
Enterprises everywhere in 2020 are prioritizing voice, video, and text communications in their digital transformations. At the center of this challenge is a critical need for a single worldwide cloud communications platform and network. With the addition of Voxbone’s intuitive user experience, software platform, and voice network spanning 60+ countries, Bandwidth will provide global enterprises with a unified answer to the question of how to develop and deliver communications applications and experiences around the world. This creates a tremendous opportunity for Bandwidth, as IDC projects worldwide spending on communications as a service to be $17.7 billion by 2024.
Upon close, Bandwidth will power 11 out of 12 of Gartner’s Magic Quadrant Leaders for UCaaS, CCaaS, and Meeting Solutions enterprises.
Recommended AI News: CorroHealth Expands AI’s Reach in Clinical Revenue Integrity with Addition of TCP Services
The consideration to Voxbone shareholders will consist of cash in the amount of $400 million USD (approximately €338 million EUR) with the remainder being paid in Bandwidth Class A common stock (approximately €108 million EUR).
The transaction is expected to close on October 31, 2020, and following the closing, Voxbone will operate under the Bandwidth brand.
Morgan Stanley & Co. LLC served as exclusive financial advisor to Bandwidth, with Latham & Watkins serving as legal counsel. Goldman Sachs International served as exclusive financial advisor to Voxbone and Vitruvian, with Freshfields Bruckhaus Deringer serving as legal counsel.
Recommended AI News: Exela is Selected by Leading Health Organization for Payment and Claims Processing
Copper profile recycling Copper scrap transportation Scrap metal reclamation and repurposing facility
Copper cable export, Scrap metal classification, Scrap copper trading