Filed by IAC/InterActiveCorp
pursuant to Rule 425 under the Securities
Act of 1933
and deemed filed under Rule 14a-12
under the Securities Exchange Act of 1934
Subject Companies:
IAC/InterActiveCorp
Commission File No.: 001-39356
Vimeo Holdings, Inc.
Vimeo, Inc.
Date: December 22, 2020
IAC Announces Plan to Spin-Off Vimeo
to IAC Shareholders
NEW YORK—December 22, 2020—IAC (NASDAQ: IAC)
announced today its Board of Directors has approved a plan to spin-off its full stake in Vimeo, the world’s leading video
software company, to IAC shareholders. Upon completion, Vimeo will become an independent, separately-traded public company, the
11th such company to emerge from IAC and its predecessors. IAC plans to hold a stockholder meeting in the first quarter
of 2021 to review and approve a proposal to implement the spin-off, which, if approved, is expected to occur in the second quarter
of 2021.
The transaction is anticipated to take the form of a reclassification
of IAC shares, with the effect of IAC stockholders receiving a proportionate amount of Vimeo stock. The proposed transaction is
intended to qualify as tax-free to IAC and its stockholders for US federal income tax purposes. Further details will be provided
in a registration statement on Form S-4 relating to the transaction, which IAC and the new Vimeo holding company will soon file
with the Securities and Exchange Commission.
“The combination of Vimeo’s remarkable growth, solid
leadership position, and enormous market opportunity have made clear its future,” said Joey Levin, CEO, IAC. “It’s
time for Vimeo to spread its wings and become a great independent public company.”
The separation is expected to afford numerous benefits, such
as the creation of “pure-play” Vimeo equity currency through which the company could more effectively raise capital
as it aims to invest further in product, technology, enterprise sales and international expansion and pursue strategic acquisitions.
“We have long believed in the power of video to
advance human expression and transform businesses,” said Anjali Sud, CEO of Vimeo. “Today we have a rare
opportunity to help every team and organization in the world integrate video throughout their operations, across all the ways
they communicate and collaborate. Our all-in-one solution radically lowers the barriers of time, cost, and complexity that
previously made professional-quality video unattainable. We’re ready for this next chapter and focused on making video
far easier and more effective than ever before.”
The proposed transaction is subject to a number of conditions
including final approval by IAC’s Board of Directors, approval of the separation proposal by IAC stockholders, and receipt
of a tax opinion.
###
About Vimeo
Vimeo
is the world’s leading all-in-one video software solution. Our platform enables any professional, team, and organization
to unlock the power of video to create, collaborate and communicate. We proudly serve our growing community of over 200 million
users — from creatives to entrepreneurs to the world’s largest companies. Learn more at www.vimeo.com.
About IAC
IAC (NASDAQ: IAC) builds companies. We are guided by curiosity, a questioning of the status quo, and a desire to
invent or acquire new products and brands. From the single seed that started as IAC over two decades ago have emerged 10
public companies and generations of exceptional leaders. We will always evolve, but our basic principles of financially-disciplined
opportunism will never change. IAC today operates Vimeo, Dotdash and Care.com, among many others, and has majority ownership
of ANGI Homeservices, which includes HomeAdvisor, Angie's List and Handy. The Company is headquartered in New York City and
has business operations and satellite offices worldwide.
Contact Us
IAC Investor Relations
Mark Schneider
(212) 314-7400
IAC Corporate Communications
Valerie Combs
(212) 314-7361
# # #
Safe Harbor Statement Under the Private Securities Litigation
Reform Act of 1995
This press release may contain “forward-looking
statements” within the meaning of the Federal Private Securities Litigation Reform Act of 1995. Forward-looking
statements may include, but are not limited to, statements relating to IAC’s and Vimeo’s anticipated financial
performance, objectives, plans and strategies, and all statements (other than statements of historical facts) that address
activities, events or developments that IAC and Vimeo intend, expect, project, believe or anticipate will or may occur in the
future. These statements are often characterized by terminology such as “believe,” “may,”
“anticipate,” “should,” “intend,” “plan,” “will,”
“expect,” “estimate,” “project,” “positioned,” “strategy” and
similar expressions, and are based on assumptions and assessments made by IAC’s and Vimeo’s management in light
of their experience and their perception of historical trends, current conditions, expected future developments, and other
factors they believe to be appropriate. IAC and Vimeo undertake no duty to update or revise any such statements, whether as a
result of new information, future events or otherwise. Forward-looking statements are not guarantees of future performance.
Whether actual results will conform to expectations and predictions is subject to known and unknown risks and uncertainties,
including: risks and uncertainties discussed in reports that IAC has filed with the SEC; the risks inherent in separating
Vimeo from IAC, including uncertainties related to, among other things, the costs and expected benefits of the proposed
transaction, the expected timing of the transaction or whether it will be completed, whether the conditions to the
transaction can be satisfied or any event, change or other circumstance occurs that could give rise to the abandonment of the
proposed spin-off (including the failure to receive any required approvals from the stockholders of IAC), any litigation
arising out of or relating to the proposed transaction, the expected tax treatment of the transaction, and the impact of the
transaction on the businesses of IAC and Vimeo; and other circumstances beyond IAC’s and Vimeo’s control. You
should not place undue reliance on these forward-looking statements. For more details on factors that could affect these
expectations, please see IAC’s filings with the SEC, including, once filed, the proxy statement/consent solicitation
statement/prospectus.
No Offer or Solicitation / Additional
Information and Where To Find It
This communication is for informational
purposes only and does not constitute an offer to sell or the solicitation of an offer to buy any securities, or a solicitation
of any vote or approval, nor shall there be any sale, issuance or transfer of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities
Act of 1933, as amended.
This communication is being made in
respect of a proposed separation of Vimeo, Inc. (“Vimeo”) from the remaining businesses of IAC through the spin-off
(the “Spin-off”) of a new Vimeo holding company, Vimeo Holdings, Inc. (“Holdings”), and a merger of Vimeo
with a subsidiary of Holdings (the “Merger”). In connection with the Spin-off and the Merger, IAC and Holdings intend
to file relevant materials with the Securities and Exchange Commission (the “SEC”), including a joint registration
statement on Form S-4 that will include a preliminary proxy statement of IAC and a preliminary consent solicitation statement of
Vimeo. The information in the preliminary proxy statement/consent solicitation statement/prospectus will not be complete and may
be changed. IAC will deliver the definitive proxy statement and Vimeo will deliver the definitive consent solicitation statement
to their respective stockholders as required by applicable law. This communication is not a substitute for any proxy statement,
consent solicitation statement or any other document that may be filed with the SEC in connection with the Spin-off or the Merger.
INVESTORS AND SECURITY HOLDERS OF IAC
AND VIMEO ARE URGED TO READ THE DEFINITIVE PROXY STATEMENT/CONSENT SOLICITATION STATEMENT/PROSPECTUS AND OTHER DOCUMENTS FILED
WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE
PROPOSED SPIN-OFF AND MERGER.
Investors and security holders will
be able to obtain these materials (when they are available) and other documents filed with the SEC free of charge at the SEC’s
website, www.sec.gov. Copies of documents filed with the SEC by IAC (when they become available) may be obtained free
of charge on IAC’s website at www.iac.com.
Participants in the Solicitation
IAC,
Vimeo, Holdings and IAC’s directors and executive officers may be deemed to be participants in the solicitation of proxies
from IAC’s stockholders in favor of the proposed Spin-off and the solicitation of consents from Vimeo’s stockholders
in favor of the proposed Merger under the rules of the SEC. Information about IAC’s directors and executive officers is available
in the Registration Statement on Form S-4 which was filed with the SEC by IAC on April 28, 2020. Additional information regarding
participants in the solicitations and a description of their direct and indirect interests will be included in the proxy statement/consent
solicitation statement/prospectus and the other relevant documents filed with the SEC when they become available.
IAC (NASDAQ:IAC)
Historical Stock Chart
From Mar 2024 to Apr 2024
IAC (NASDAQ:IAC)
Historical Stock Chart
From Apr 2023 to Apr 2024