Yext CEO offers to take company private in $1.1 billion deal, shares rally

Yext is back in the spotlight. CEO Michael Walrath has offered to take the New York–based search optimization company private in a deal that values it at about $1.1 billion. News of the proposal sent Yext’s stock up 9% in early trading on Monday.

Walrath, who holds a 2.8% stake in the company, put forward an offer of $9.00 per share in cash for the stock he doesn’t already own. That figure represents an 11.2% premium over Yext’s Friday close. According to the company, the bid is supported by “reputable and well-capitalized financing sources,” though the names of those backers haven’t been disclosed.

The board has formed a special committee to evaluate the proposal and explore other strategic options, Reuters reported. Yext was careful to say that there’s no guarantee the talks will lead to a transaction. The company also pulled its forecast for fiscal 2026 while the potential deal plays out.

For fiscal 2025, Yext reported $421 million in revenue, up 4% year-over-year, but losses widened to $27.9 million from $2.6 million a year earlier. Still, the stock has been a strong performer over the past 12 months, gaining more than 50% despite uneven earnings.

“Yext has achieved remarkable progress, and I believe now is the right time to explore a transaction that can deliver compelling value to stockholders,” Walrath said in a statement.

Founded in 2006 by Howard Lerman, Brian Distelburger, and Brent Metz, Yext made its name helping companies manage and optimize their presence across search engines, maps, social platforms, and direct communications. With a workforce of more than a thousand employees, the company has positioned itself as a player in both AI-driven and traditional search optimization.

Whether Walrath’s $1.1 billion bid ultimately takes the company private remains to be seen. For now, investors appear to like the idea.

Yext CEO Michael Walrath