Deal Flow
Letter · prints on one page
Transaction tear sheetData as of Nov 7, 2026
M&A · Tech · Services-Prepackaged Software

Thoma Bravo and Sunstone Partners to acquire UserTesting, Inc.

Announced Oct 27, 2022 · Closed Jan 12, 2023

Deal value$1.30BEV $915M
Premium94.0%To unaffected price
EV / Adj. EBITDA—
ConsiderationAll cash$7.50 per share

Transaction

Acquirer
Thoma Bravo and Sunstone Partners
Target
UserTesting, Inc.
Buyer type
Private equity
Offer price per share
$7.50
Enterprise value
$915M
Status
Closed Jan 12, 2023

Deal protections

Break fee (target pays)
$33.9M · 2.6%
Reverse fee (buyer pays)
$67.8M · 5.2%
Go-shop
Go-shop
Financing
Committed · Morgan Stanley

Advisors

To the acquirer
Jefferies
To the target
Morgan Stanley
Morgan Stanley fee
$20.4M

Sector context · Tech

Comparable deals
80 in the prior 24 months
Premium
94.0% vs. 33.6% sector median
EV / Adj. EBITDA
Sector median 17.8x
Break fee
2.6% vs. 3.0% sector median

Timeline

  1. AnnouncedOct 27, 2022
  2. Proxy filedNov 23, 2022
  3. Definitive proxyDec 6, 2022
  4. Shareholder voteJan 10, 2023
  5. ClosedJan 12, 2023

Valuation · fairness opinions

Trading comparables$3.80$6.46
Discounted cash flow$3.59$5.17
Analyst price targets$4.50$9.00
Analyst price targets$4.06$8.12
Leveraged buyout$5.43$7.47
Offer $7.50

Implied value per UserTesting, Inc. share by analysis, from Morgan Stanley · DCF discount rate 12.5%–14.5%.

Sources
  • 8-K (EX-99) · Oct 27, 2022
  • DEFA14A (EX-99.1) · Oct 27, 2022
  • 8-K · Oct 27, 2022
  • 8-K (EX-99.1) · Jan 12, 2023

Adj. EBITDA is operating income + D&A + impairment, restructuring, deal costs and stock compensation, less any large gain on a sale, last twelve months, from the target's filings. Calculated by Castle, so it can differ from a bank's adjusted figure.

Prepared with Castle from public SEC EDGAR filings. Figures are extracted automatically; verify against the source documents. Not investment advice.