Bending Spoons acquires Vimeo for $1.38B, its largest deal yet

The Milan-based app developer Bending Spoons announced Wednesday it will acquire video platform Vimeo in an all-cash deal worth $1.38 billion, marking the largest acquisition in the company’s history. Once the transaction closes later this year, Vimeo will be taken private and delisted from exchanges, giving Bending Spoons control of one of the most recognizable names in online video.

The deal values Vimeo shares at $7.85 each, a 63% premium over the stock’s last close. Investors welcomed the move, sending shares soaring more than 60% to $7.74 on the news. The buyout marks the largest acquisition in Bending Spoons’ history, giving the Italian company control of one of the oldest independent video platforms still operating at scale.

“At Bending Spoons, we acquire companies with the expectation of owning and operating them indefinitely, and we look forward to realizing Vimeo’s full potential as we reach new heights together,” said Bending Spoons CEO and co-founder Luca Ferrari in a news release.

The deal follows reports that Bending Spoons had been eyeing a potential Vimeo takeover since March 2024.

Founded in 2004 and spun out of Barry Diller’s IAC in 2021, Vimeo entered the market with high hopes but has since struggled to compete with YouTube and a wave of cheaper professional video tools. The company has lost nearly 90% of its market value since going public, forcing executives to weigh strategic options.

Bending Spoons, led by CEO Luca Ferrari, has built its reputation by scooping up distressed digital brands and attempting to refocus their business models. The firm bought Evernote in 2022, laid off most of its U.S. and Chile staff the following year, and then restricted free users. Its WeTransfer acquisition in 2024 was followed by a 75% reduction in its workforce and new limits on the free tier. Analysts expect a similar playbook for Vimeo. “Once the deal gets approved, we should expect to see significant cost-cutting measures implemented and a razor-sharp focus on revenue generation by leveraging Vimeo’s technology assets,” said PP Foresight analyst Paolo Pescatore.

Ferrari, in announcing the deal, said the company intends to invest heavily in Vimeo’s U.S. presence and other priority markets. “At Bending Spoons, we acquire companies with the expectation of owning and operating them indefinitely, and we look forward to realizing Vimeo’s full potential as we reach new heights together,” he said. He added that the firm is committed to bringing “advanced features to more customers” and continuing to release “powerful and responsible AI-enabled features.”

Vimeo CEO Philip Moyer described the partnership as a chance to reset. “We are excited about this partnership, which we believe will unlock even greater focus for our team and customers as we continue to strive towards our global mission to be the most innovative and trusted video platform in the world for businesses,” he said. Moyer pointed to growth opportunities across self-service, OTT streaming via Vimeo Streaming, and enterprise offerings.

The deal is expected to close in the fourth quarter of 2025, subject to regulatory approvals. Vimeo was advised by Allen & Company, while Bending Spoons worked with J.P. Morgan, Wells Fargo, and BNP. Bankers involved in the deal say the Milan-based firm, valued at $2.55 billion in its last fundraising round, may be preparing for its own U.S. IPO in the future.