Israeli-founded video creation and distribution company Kaltura has received an acquisition offer from American competitor Panopto valuing the company at $436 million.
The offer was revealed in a report submitted by private equity firm K1 Investment Management, which owns Panopto, an education software maker. K1 said in a letter to Kaltura’s board on Thursday that it’s prepared to pay $3 a share in cash for the company, a 27% premium to Thursday’s closing price. This is the third proposal K1 has made for Kaltura over the last two months. The last offer stood at $2.75 a share.
Kaltura’s share price surged in postmarket trading on Thursday and premarket trading on Friday. Kaltura’s road to going public was far from straightforward, postponing its planned IPO at a $2 billion valuation back in March of 2021 before eventually entering Wall Street at a $1.3 billion valuation last July, raising $150 million.
However, since peaking last August, Kaltura shares have lost 80% of their value. Kaltura’s results have also not blown investors away, with the company registering revenue of $47.1 million in the first quarter of 2022, recording a loss of $8.4 million. Kaltura still had $120 million in cash in its account as of its last report.