Thoma Bravo and Sunstone Partners to acquire UserTesting for $1.3bn

Thoma Bravo and Sunstone Partners have agreed to acquire UserTesting, a video-based human insights provider, in an all-cash transaction valued at approximately $1.3 billion.

UserTesting will become a privately held company and its common stock will no longer be publicly listed on the New York Stock Exchange (NYSE) following the completion of the proposed deal.

Under the transaction, Thoma Bravo and Sunstone Partners are planning to combine UserTesting and UserZoom, a user experience (UX) insights company. The combined entity is expected to leverage the capital support, operating capabilities, and industry know-how of Thoma Bravo and Sunstone Partners.

According to the parties, the combined entity will help customers develop better product, employee, customer, and brand experiences by leveraging the capabilities of both solutions.

Andy MacMillan — UserTesting CEO said: “We believe the combination of UserTesting and UserZoom will unlock tremendous value for our customers by further integrating and expanding the suite of research methods, testing types, and measurement options available—all while making the voice of the customer and human insight more accessible across an organization and easily integrated into their processes and workflows.”

Thoma Bravo purchased a majority stake of UserZoom in April 2022.

A.J. Rohde — Thoma Bravo Senior Partner said: “Our acquisition of UserTesting is a testament to our belief that customer experience is mission critical to organizations, and the combined company will be well-positioned to further market expansion, accelerate innovation, and provide even greater insights to its customers.”

Slated to close in H1 2023, the transaction is approval of UserTesting’s stockholders, regulatory approvals, and other conditions.