Blackbaud has acquired social impact tech company Everfi for around $750 million in cash and stock.
The deal is closely tied to the ESG movement being pushed by major investors, including the Big Three index funds. Blackbaud’s software allows schools and companies to manage employee giving and volunteering. Everfi’s customers include ESG-minded companies using its “impact-as-a-service” software to offer educational content (financial literacy, health and wellness programs) to more than 25,000 U.S. K-12 schools. Some Everfi customers, like big banks, are mandated to offer such programs.
Blackbaud says the combo doubles its total addressable market to more than $20 billion, with more than half of that in the CSR/ESG category. The deal also allows Blackbaud to pull forward the timeline for its goal of mid-to-high single digit organic revenue growth.
Blackbaud, founded from a single private school client account, and EVERFI, co-founded by three Bowdoin College grads, have functioned broadly in the ed-tech space, but in terms of an assigned deal category, the combo fits into a relatively new bucket: ESG M&A.
Read more/Source: Axios
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