San Luis Obispo’s Mindbody is officially under the ownership of Vista Equity Partners in San Francisco.
The health and wellness software company filed its final documents with the U.S. Securities and Exchange Commission on Friday, stating that its $1.9 billion merger with Vista Equity Partners has been finalized.
“Seventeen years ago, we set out on a journey to leverage technology to improve the health and wellness of the world. Today, that technology is helping people lead healthier, happier lives by connecting the world to fitness, beauty and wellness,” CEO Rick Stollmeyer said in a news release. “Our partnership with Vista marks a significant milestone on our journey and will allow us to accelerate our growth and serve our customers, consumers and partners better than ever before.”
The purchase took Mindbody from publicly traded back to private ownership.
Mindbody representatives released an additional email statement soon after the acquisition was finalized:
“We’re thrilled to be the newest addition to the Vista family of companies,” read the statement. T”his acquisition has provided our shareholders with immediate liquidity at a significant premium to market prices. With Vista, the Mindbody team will be able to accelerate our growth, helping people lead healthier, happier lives by connecting them with fitness, beauty and wellness services worldwide. We look forward to serving our customers, consumers and partners better than ever before.”
According to the filing, more than 46.3 million votes were cast in favor of the deal, and about 7.3 million against when shareholders met in San Luis Obispo on Thursday. (Shareholders get the same number of votes as shares they own.)
According to the SEC filing, Stollmeyer, Mindbody President Mike Mansbach and Chief Operating Officer and Chief Financial Officer Brett White will all stay on with the company as executives.
They will be joined as officers of the company by Vista Equity Partners Vice President Nicholas Stahl and Vista Equity Partners Principal Maneet S. Saroya.
(For a reminder, Stollmeyer, Mansbach and White made close to $80 million all together once their shares were sold to Vista.)
Stahl and Saroya will also sit on the company’s new board of directors. Almost none of Mindbody’s previous board will return, according to the SEC documents, except for Stollmeyer.
The future of Mindbody under Vista management is still unclear.
In a company email filed with the SEC, Stollmeyer told staff that Mindbody’s headquarters will remain in San Luis Obispo, and that no layoffs are expected as a result of the deal.
“You are at the heart of our purpose as a company,” the email said. “This is an amazing opportunity for us, and we want everyone to have a part in our future.”
Vista has also agreed to not decrease employee salaries or bonuses for at least a year following the purchase, according to the email. It will also “maintain Mindbody benefit plans or provide substantially comparable plans,” throughout that same time period, the email said.