New York-based buyout firm KKR has agreed to buy Cleveland-based OverDrive Inc., a provider of a digital reading platform for libraries and schools, from Rakuten, which bought the business for $410 million in 2015.
Terms of the deal were not announced, but PitchBook valued the deal at $765.6 million.
OverDrive provides a catalog of ebooks, audiobooks, magazines and other digital media to millions of readers around the world through a proprietary platform that allows institutions to acquire and manage digital content.
“At a time of accelerating digital adoption throughout libraries and schools, OverDrive offers its growing user base a best-in-class technology platform and reading experience – something we’re excited to be a part of,” KKR Managing Director Ted Oberwager said in a statement. “We look forward to working with the Company to further grow its portfolio and network, and continue to build on its status as a recognized leader in the digital content space.”
“OverDrive is very excited to work with the world-class KKR team due to their track record of accelerating digital media and technology businesses in global markets,” OverDrive founder and CEO Steve Potash said. “This provides access to an extraordinary network of capabilities to empower our institutional partners for the benefit of the communities and readers they serve.”