April 12, 2017
As one of Austin’s most high-profile, publicly traded software companies, RetailMeNot is always big news. However, it’s apparently going private again, with the news that Harland Clarke Holdings Corp is set to acquire the company for $630 million at $11.60 per share.
The digital coupon site RetailMeNot offers deals directly through its web and mobile platforms, and made it’s $230 million IPO back in 2013.
What It Means
Critics are split on the deal’s implications. While the company will likely expand quicker in the private sector, its home city will now lose a high-profile example of the public successes it offers.
“[The deal] is a measure of success, and $630 million is a good price, so Austin should congratulate itself for being such a good incubator,” said Kirk Walden, adjunct business professor at Texas State University and principal of Walden Consulting to 512Tech. “To me the good news is they’re still in Texas. Most likely, RetailMeNot will grow faster because it’s been acquired. It will have access to more resources. Even though integration is often painful, it is very likely they will continue to expand, and expand at a faster rate.”
Shareholder rights law firm Johnson & Weaver, LLP has launched an investigation into the fiduciary duties of RetailMeNot’s board. Analyst reports are positive about the deal, however. In the high-stakes world of tech company paydays, companies rarely make it as far as RetailMeNot.
Read more about other notable acquisitions here on Tech.Co
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