Videxio and Pexip to merge their operations in a $360M deal.
Pexip, a Lysaker, Norway-based SAAS provider of video-based communication and collaboration tools announced its intention to combine its operations with Videxio, a Norwegian company offering cloud-based video conferencing solutions.
The merger values the new entity at around NOK 3bn ($360M), with Pexip's shareholder, Stavanger Venture, to become the main owner of the merged company with 10%. Other shareholders will include Johan Wylie (6.5%) and founders Håkon Dahle, Michel Sagen and Tom Erik Lia (each with 2%)
Upon finalization of the merger, the combined company will be called Pexip and will continue to serve more than 300 partners globally, and with users in more than 195 countries. The leadership will be assured by Odd Sverre Østlie as the CEO and by Tom-Erik Lia as the Chief Commercial Officer.
The transaction is expected to be completed by the end of 2018, following regulatory clearances and shareholder approval.
Videxio, founded in 2011 and led by Tom-Erik Lia, is a global provider of cloud video conferencing and collaboration with solutions that fit companies and organizations of all sizes, from start-ups to enterprises. The company has been profitable since 2014 and has grown Annual Recurring Revenue (ARR) by more than 270% over the previous three years while paid user traffic has grown over 875% during the same period.
Pexip, founded in 2012 and led by CEO Odd Sverre Østlie, provides a software-based meeting platform that is designed for cloud and used both as a dedicated enterprise application and a service provider platform. The company has been profitable since 2016 and has almost tripled ARR over the previous three years.