Vector Capital swoops for Sandvine
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Editor
| 28 May 2017

An affiliate of leading global private equity firm Vector Capital has entered into an arrangement to acquire network policy control solutions provider Sandvine.


Under the arrangement, Scalar AcquireCo will buy all of the issued and outstanding shares of Sandvine, other than certain shares held by members of management, for CAD $3.80 in cash per share. The price per share implies an aggregate fully‐diluted equity value for Sandvine of approximately CAD $483 million.

“The Sandvine team has built the clear leader in network policy control and I am extremely proud of what we have accomplished to date,” said Sandvine president and chief executive officer Dave Caputo. “There are a number of long-term growth opportunities that Vector, as a specialist technology investor, is enthusiastic about and can help us pursue more aggressively. We see this as an excellent opportunity to better serve our 300-plus customers, to enhance our strategic position over the longer term, and to do it the Sandvine Way.”

“We are excited to partner with Dave and this deeply talented management team to take Sandvine to the next level,” said Rob Amen, a managing director at Vector Capital.

“We are confident that, together with the founding team, Vector can enhance Sandvine’s proud track record of growth, innovation and independent operations. Vector was specifically formed to collaborate with market leading technology companies to accelerate their growth and redefine their markets in new and disruptive ways. We believe that Sandvine’s emerging product opportunities and transition to fully virtualised solutions represent an opportunity for such a disruption. Our partnership with this deeply talented team couldn’t be stronger.”

“Sandvine is at a major transformation point in its evolution,” added David Fishman, managing director and head of the investment team at Vector Capital. “Vector’s financial and strategic support will enable the company to continue its leadership in network policy control. We believe that our long-term approach will enable Sandvine to continue to expand its lead in its traditional areas of strength and better execute on a number of emerging opportunities, such as its next-generation virtualised offerings and cyber security.”