LivePerson to Acquire Contact At Once! Dealer Chat

[Jeff Kershner]

Did anyone see the announcement that LivePerson has agreed to acquire Contact At Once?

I'm sure most are familuar with LivePerson as they are a huge supplier of Chat across several verticals outside of the automotive industry. By acquiring COA, they quickly gained one hell of a footprint within our industry that yields them relationships with several OEM's and the larger listing websites.

"LivePerson, Inc., (NASDAQ: LPSN), a leading provider of digital engagement solutions, today announced that it has entered into a definitive agreement to acquire Contact At Once!, LLC (“CAO” or “Contact At Once!”), a software company with a cloud-based platform that connects consumers to businesses across a variety of websites through chat, mobile and video."

"Under the merger agreement for the transaction, LivePerson will acquire all of the outstanding equity interests of Contact At Once! for an aggregate purchase price of $65 million, consisting of approximately $43 million of cash and $22 million of common stock. CAO may also receive up to $5 million of contingent consideration subject to achieving certain targeted financial, strategic and integration objectives and milestones."

 

[craigh]

That value seems high, but I imagine the market dominance is a good portion of that valuation.
I've never used their services before, but they call me on the regular to pester me about giving them a try.

 

[Alex Snyder]

That value seems high

I actually have been surprised by the price of CAO and Xtime. I expected both to go for more. Maybe neithers' revenue was as high as I had once heard. That, or tech companies ain't worth what they were in March

 

[craigh]

I think I'm just skeptical. I spent so long analyzing company valuations in San Francisco and how these inflated valuations are bleeding slowly across the other states.. it's fascinating data, but I find that most of the valuations are extremely high based on potential, not based on what they are at the day of acquisition.

 

[Alex Snyder]

valuations are extremely high based on potential, not based on what they are at the day of acquisition.

No question! Look at the prices Wall Street is paying for some social media company's stocks.

 

[craigh]

No question! Look at the prices Wall Street is paying for some social media company's stocks.

The worst part is that the first investor makes their buck because they end up selling it off to an even bigger investor at a higher valuation with, occasionally, little to no actual change in revenue, just change in exposure and potential. Companies with 0 revenue and no strategy for revenue (except advertising) results in insane valuations.

Just look at Kevin Rose's investment history.

 

[DrewAment]

Thought I would add this to an old thread....

As of October 31, 2022, LivePerson will be sunsetting their chat tools?

Anyone still use CAO/LivePerson? Thoughts?

 

[Jeff Kershner]

Thought I would add this to an old thread....

As of October 31, 2022, LivePerson will be sunsetting their chat tools?

Anyone still use CAO/LivePerson? Thoughts?

We were talking about Contact At Once in last weeks RefreshFriday show with Ted and Carol from ActivEngage. I had no idea they were sunsetting the chat service - LivePerson. COA had a very strong run until it was acquired.

 

[jwittler]

Anyone get more details on this? I've seen a few posts, but its weird - the press release on the update has been pulled down on PR Newswire and the website is still offering chat demos and accepting lead submits. Their social has been dead for 2019; just looking to confirm if this is true or if it was a false start by someone on their end.

 

[DrewAment]

the press release on the update has been pulled down on PR Newswire
Their social has been dead for 2019;
false start by someone on their end.

That probably tells us all we need to know ...