Search optimization company Yext to explore a sale, sources say
07/06/2024 16:08
(Adds share reaction in paragraph 3)
By Milana Vinn
June 7 (Reuters) -
Yext YEXT.N , a maker of software that promotes companies'
information in online search directories and websites, is
preparing to explore a sale after attracting takeover interest,
according to people familiar with the matter.
Yext has hired investment bankers to get ready to explore
strategic alternatives, the sources said.
Yext shares rose as much as 21% in morning trading in New
York on the news on Friday, giving the company a market value of
about $700 million.
The sources cautioned that the New York-based company may
not proceed with any deal. They asked not to be identified
because the deliberations are confidential.
A Yext spokesperson declined to comment. The company is
scheduled to report quarterly earnings on Monday.
Yext works to maximize its corporate clients' visibility in
online platforms and apps such as Amazon Alexa, Google Maps and
Apple's Siri. It specializes in optimizing search results based
on consumers asking for service providers in their geographic
proximity.
Yext has struggled to differentiate itself in the face of
intense competition and advancements in artificial intelligence.
Its shares have lost more than half their value in the last 12
months as its revenue declined.
(Reporting by Milana Vinn in New York; Editing by Chizu Nomiyama
and Matthew Lewis)
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