Pinewood.AI has recommended a private equity takeover bid to its shareholders.
The acquisition offer is £4.48 per share, which values the overall deal at around £545 million.
The takeover bid is from UK Piston Bidco, a newly formed company indirectly owned by entities administered by Ridgeview Partners, a technology-focused private equity firm.
As an alternative to the cash offer, Pinewood.AI shareholders are also able to accept a rollover alternative involving interest in a Ridgeview-managed holding company.
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Pinewood.AI is a cloud-based technology provider to dealers and OEMs, described as benefitting from high recurring revenues and long-standing OEM partnerships.
Once the acquisition is completed, Ridgeview says it plans to work with Pinewood.AI’s management team and employees to support the business in its next phase of growth, which it says will require a ‘step-change’ in technology investment, particularly in data and AI.
It plans to accelerate Pinewood.AI’s growth strategy in all its markets, including the UK, and says this will be easier to achieve with Pinewood.AI as a private company.
CEO’s pride at Pinewood.AI’s achievements
Bill Berman (pictured), CEO at Pinewood.AI, said: “I am extremely proud of everything we have achieved since Pinewood.AI became a standalone technology business in 2024.
“We have created a strong platform for future growth and we are confident in the significant global opportunities ahead, particularly in North America.
“Realising the full potential of the business now requires continued investment, innovation and execution at scale, and we know that Ridgeview is the right partner to support us through this next exciting chapter.”
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Hilton Romanski, co-founder at Ridgeview, said: “Pinewood.AI is a proven innovator and domain expert that has built a leading platform with unique technology that is well-positioned to expand into new and attractive markets.
“We are confident that with Ridgeview’s backing, the team will be better positioned to realise Pinewood.AI’s full potential.”