NICE Acquires Cloud-Based Analytics Company Mattersight

NICE Ltd. has agreed to acquire Mattersight Corp., a Chicago-based provider of cloud-based analytics for customer service organizations, in a $90 million deal that values the latter at $2.70 per share.

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Chicago-based Mattersight provides SaaS-based enterprise behavioral analytics software. Founded in 1994, and formerly named eLoyalty, the software company began trading on the Nasdaq in Jan 2011 under the ticker symbol MATR. Previously, it raised $51 million in four rounds of funding from backers including Technology Crossover Ventures (TCV), according to Crunchbase.

Mattersight, which calls itself the “pioneer in personality-based software applications,” sees itself integrating well into NICE’s portfolio of both cloud and on-premise enterprise software solutions intended to help empower organizations to make better, more informed decisions based on advanced analytics of structured and unstructured data.

"Our solutions drive significant business value for some of the most recognized brands on the planet, but we’ve lacked the resources to rapidly accelerate our growth. This transaction creates a great opportunity for Mattersight’s customers and employees, as NICE brings complementary products, a substantial distribution engine and a strong brand that allow us to accelerate our go-to-market strategy" said Kelly Conway, CEO of Mattersight. "We are excited to work with NICE to bring our personality-based applications to the global market and continue innovating with our current and future customers."

NICE’s customer lists includes over 25,00 organizations in over 150 countries, as well as at least 85 of the Fortune 100 companies. Its software helps organizations of all sizes improve customer service, ensure compliance, combat fraud and safeguard citizens, according to the company.

"We were very impressed with Mattersight's innovative technology and domain expertise, as well as their long standing strategic relationships with some of the largest customer service organizations. This acquisition reaffirms our commitment to delivering analytics in the cloud and to be at the forefront of the analytics market," said NICE CEO Barak Eilam.

The transaction is expected to close in the second half of 2018, subject to customary closing conditions and regulatory approvals. The purchase price represents a 26% premium to Mattersight’s common stock on Apr 25, 2018, the last trading day prior to the deal’s announcement.