LiveTiles breaks into Europe with $48M acquisition
- 05 February, 2019 11:18
Karl Redenbach (LiveTiles)
Australian cloud-based digital workplace software vendor LiveTiles is paving its way in the European market through the $48 million acquisition of Microsoft aligned digital workplace software business Wizdom.
The purchase price comprises a base valuation and an earn out of $19.6 million, with an upfront purchase price of $28 million, broken down into $9 million in cash and $19 million in stock.
The acquisition will be completed mid-February and is expected to add 35 per cent to LiveTiles’ annualised recurring revenue (ARR).
The Denmark-based company will add news and content publishing capabilities to LiveTiles’ intelligent workplace platform, while also providing LiveTiles with an established presence in Europe.
Wizdom was launched in 2016 by founders John Wainer and Claus Ole Hasle, who will also be joining LiveTiles as part of the acquisition.
“Wizdom will enable us to broaden the LiveTiles intelligent workplace platform to deliver exciting new capabilities to current and future customers,” LiveTiles co-founder and CEO Karl Redenbach said. “At the same time, LiveTiles’ AI capabilities provide a significant cross-sell opportunity to Wizdom’s growing customer base across Europe.”
As of December, Wizdom’s ARR toppled $8 million and maintains more than 200 customers across Europe and UK including companies such as Nokia, Syngenta, Saxo Bank, De Beers and Anglo American.
“We are excited to be joining forces with the LiveTiles team and believe that both companies will be able to leverage their respective customer footprints, established partnerships, and sales and marketing channels to drive rapid growth across both businesses," Wizdom co-founder and CEO John Wainer said.
"I am confident that within Wizdom’s existing customer base there will be strong interest for LiveTiles’ existing AI capabilities, providing us with immediate cross selling opportunities and a compelling product offering to attract new customers."
In May, LiveTiles bought next generation employee profile and directory management software company Hyperfish for $8.9 million.
US-headquartered, Hyperfish claims its team brings deep relationships with Microsoft and its channel partners.
According to the company, Hyperfish uses artificial intelligence (AI) and bot technology to automatically identify missing or incorrect employee directory information as it initiates a conversation with employees to collect and validate data.