Epiphany expands analysis with RightPoint buy
Epiphany, a maker of software that allows companies to track and analyze their customer information, moves to acquire privately held RightPoint in a deal worth about $400 million.
Epiphany, which went public in September, hopes that RightPoint's software will serve as a complementary fit, boosting its own strengths. RightPoint also makes software that analyzes information on customers but goes a step further in alerting a company's representative in real-time on how to interact with each customer based on his previous consumer behavior.
"Epiphany and RightPoint create a single view of the customer and manage customer interactions through real-time personalization," Roger Siboni, chief executive of Epiphany, said in a statement.
Under the terms of the agreement, Epiphany will issue approximately 3.5 million shares of its common stock to the shareholders of RightPoint, or about 10.5 percent of the combined company on a fully diluted basis. The transaction will be accounted for as a purchase. Both companies are located in San Mateo, Calif.
Shares of Epiphany were offered to the public in September at $16 per share and closed yesterday at 112.5. The stock has hit as high as 143 since going public.
Companies using Epiphany and RightPoint software include CBS SportsLine, American Express, Charles Schwab, GTE, Procter & Gamble and Hewlett-Packard. Just last month Epiphany stock rocketed as much as 35 percent after online retailing giant Amazon.com said it would begin using its software.
The acquisition is subject to customary closing conditions, including the approval of RightPoint's shareholders and regulatory approvals. Upon completing the transaction, Epiphany expects that it will have almost 275 employees.