Special Investment Vehicle Sivota PLC to Take Majority Stake in Apester Software Platform


Apester serves 143 global customers, including renowned brands such as CNN, RollingStone, The Independent, IKEA and the Australian Football League

Sivota PLC (LSE:SIV), a special opportunities investment vehicle, has announced a conditional sale and purchase agreement (SPA) to acquire a majority stake in digital marketing engagement platform Apester for approximately 12 million US dollars.

Sivota focuses on investing in “under the radar” Israeli tech companies and uses his experience to usher in change and growth.

Apester generated revenues of $9.2 million in 2021, compared to $7.2 million the previous year, and serves approximately 143 global customers, including renowned brands such as CNN, RollingStone, The Independent, IKEA, the Australian Football League and more, Sivota said in a statement. .

Apester’s platform provides tools to create a range of personalized interactive experiences and applications, including customer surveys, mobile landing pages, onboarding forms, interactive videos, polls, quizzes, custom apps and web stories.

Sivota said the digital experience platform (DXP) market is expected to reach $43.43 billion by 2028, growing at a compound annual growth rate (CAGR) of 13.4% from 2021 to 2028 .

“We believe Apester is a perfect fit for our investment profile in high-potential, overlooked technology-backed companies,” said Sivota CEO Ziv Ben-Barouch.

“The strength of Apester’s technology stack and the market in which it operates, combined with our own track record of value creation, represents a significant growth opportunity.

The agreement is conditional upon a placement by Sivota, the publication of a prospectus approved by the Financial Conduct Authority (FCA) and the readmission of Sivota’s enlarged share capital to trading on the London Stock Exchange.

Sivota will receive approximately 14.95 million seed preferred shares in Apester, equivalent to a 57.5% stake, for a total price of US$12 million, reflecting a pre-money valuation of Apester of 16 million US dollars.

Apester will use the proceeds of the investment for its working capital needs.

Apester also agreed to contribute up to $420,000 for Sivota’s legal and other fees in connection with the transaction.

In addition, the two companies are entering into a five-year management services agreement, under which Sivota will provide certain services to Apester for an annual fee equivalent to 2% of Sivota’s investment in Apester.

Sivota will have the right to appoint a majority of directors to Apester’s board of directors.

Sivota also said it has entered into two contingent convertible loan assignment agreements with Apester’s lenders, under which $1.575 million of convertible loans will be assigned to Sivota.

The loans will bear interest at 6% per annum and are convertible into seed preferred shares of Apester, representing approximately 5.6% of Apester’s share capital.

If the loans are not converted, Apester must repay them in full in 24 monthly installments starting in February 2024, Sivota said.

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