Gamified e-learning platform Kahoot acquired in $1.7 billion deal led by Goldman Sachs, Lego and more

Gamified e-learning platform, Kahoot, has been acquired in a $1.7 billion all-cash private equity deal led by Goldman Sachs and backed by LEGO Group, General Atlantic, and Glitrafjord. The acquisition values Kahoot at 17.2 billion Norwegian kroner ($1.7 billion) based on its outstanding shares. This deal represents a premium on Kahoot’s publicly traded shares, suggesting that tech companies are facing challenges in financing despite their growth. Kahoot saw a rise in popularity during the Covid-19 pandemic as remote learning became more widespread. The company currently has over 1 million paying users and has hosted hundreds of millions of learning sessions with billions of participants worldwide. However, Kahoot, like other tech businesses, has faced difficulties in the public markets due to the recession and decreased demand for digital services. In the second quarter, the company reported $41 million in revenues, up 14% from last year, and operating cash flow of $10 million. The acquisition will bring stability to Kahoot after years of fluctuating share prices and will enable the company to continue expanding its mission to empower learners globally.