Everstone combines Wingify and ABTasty for $100M+ digital experience optimization platform

Everstone Capital, a private equity firm, is set to merge India's Wingify—a company specializing in website testing for improved sales and customer engagement—with France's ABTasty. This strategic move aims to establish a digital experience optimization platform valued at over $100 million in annual revenue. This merger comes just a year after Everstone acquired a controlling stake in Wingify for $200 million. With this collaboration, the newly formed entity will cater to more than 4,000 clients across the globe, generating significant revenue primarily from the U.S. and European markets. The leadership of the merged entity will be under the guidance of Wingify co-founder Sparsh Gupta, who will serve as CEO, while Everstone will hold the largest share as an institutional investor. As enterprises increasingly seek integrated solutions, the digital experience tools sector—especially those focusing on A/B testing and personalization—has seen a wave of consolidation. Gupta emphasized that the merger aligns with the rising demand for holistic platforms, allowing companies to implement AI across their marketing and product teams without managing multiple vendors. The merger will also emphasize enhancements in AI capabilities over time, while maintaining the current customer experience. Everstone is providing additional capital to streamline ABTasty’s financial structure and facilitate the integration of both businesses. While specific financial details of the deal remain undisclosed, it includes a cash component and an equity rollover for the existing leadership to preserve their stakes in the new entity. Gupta described the merger as a natural evolution between two rivals who have fostered a friendly competitive relationship. The executive team will comprise leaders from both companies, with Gupta at the helm, Ankit Jain as chief product and technology officer, and ABTasty’s co-founders Rémi Aubert and Alix de Sagazan taking roles as chief customer and strategy officer and chief revenue officer, respectively. Both Wingify and ABTasty are profitable, and the merger is not focused on cost-cutting or layoffs but rather on enhancing the combined platform. The new entity will employ around 800 staff across 11 global offices, with a significant portion based outside India. Its headquarters will be located in New Delhi. Founded in 2010, Wingify has been a bootstrapped company for over a decade, with its flagship product, VWO, helping businesses enhance online conversion rates. Meanwhile, ABTasty, established in 2014, offers experimentation and personalization solutions to over 1,000 brands, including industry giants like L’Oréal and Samsonite. This merger positions the new company to compete with major players like Optimizely and Adobe, expanding Everstone and Wingify's reach in Europe and enhancing their product offerings in testing, feature delivery, and AI-driven personalization. The deal is part of a broader trend of consolidation in the marketing and product software industries, as private equity firms pursue larger, AI-capable platforms for enterprise customers. With recent statistics indicating a surge in enterprise SaaS mergers and acquisitions, the momentum in tech M&A is expected to continue into 2024, driven by the demand for scalable solutions. Following the merger, Everstone will maintain majority control and board rights in the new company, which will be supported by an advisory board of industry experts. Sandeep Singh, managing director at Everstone Capital, remarked that the collaboration between VWO and ABTasty will lead to one of the most comprehensive product offerings available in the market.