Norwegian game-based learning platform, Kahoot, has announced the acquisition of California-based Clever Inc., a privately-held company that claims to be one of the most widely-used digital learning platforms by US K-12 schools. The transaction is expected to close in the second quarter of 2021.
The development between the platforms aims to provide improved learning solutions and offerings to the US schools, as well as accelerate the global expansion of Clever’s solutions.
Transaction overview
Kahoot Group will acquire 100 per cent shares of Clever Inc. for an enterprise value (EV) of $435M – $500M in cash and debt free basis, including an up to $65M 2021-2022 performance-based element. The transaction will include a combination of approx 82 per cent cash and 18 per cent Kahoot shares.
The cash portion of the $435M base consideration is payable in instalments – $205M payable at closing, and the remaining $150M will be payable later in 2021. As for the performance-based consideration, it will be payable in 2022 and 2023.