Investing.com -- Rezolve AI Ltd (NASDAQ:RZLV) stock dropped 7.5% on Monday after the conversational commerce company announced plans to acquire digital experience platform Crownpeak for $90 million plus debt assumption.
The deal, expected to close within 48 hours, involves an initial purchase price of $90 million ($50 million cash and $33.9 million in equity, after adjustment) and the assumption of approximately $150 million in debt. Rezolve AI, which partners with Microsoft and Google, framed the acquisition as a strategic move to expand its "Brain Commerce" footprint across the US, UK, and EMEA regions.
According to the company, Crownpeak is expected to generate approximately $70 million in revenue for the current year and will be immediately EBITDA-accretive. The acquisition gives Rezolve access to Crownpeak’s blue-chip customer base, which includes major brands like Tommy Hilfiger, Calvin Klein, Sephora, and Commerzbank.
"We are acquiring a powerhouse asset at fantastic value," said Daniel Wagner, Chairman and CEO of Rezolve AI PLC. "Crownpeak is expected to bring substantial, high-margin revenue from Day One. But for me, this is also a strategic homecoming. A core part of this business is the product discovery capability which was originally a company I founded and took public, Attraqt. I know the technology and I know the customers, so we are uniquely positioned to execute this integration."
The transaction represents the first phase of Rezolve’s strategy to consolidate enterprise platforms that can be enhanced with its AI-driven "Brain Suite" of commerce solutions. The company plans to upsell its proprietary LLM and checkout capabilities to Crownpeak’s existing customer base.
Despite management’s optimistic outlook on the acquisition’s strategic benefits, investors appeared concerned about the substantial debt assumption and integration challenges, as reflected in Monday’s share price decline.
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