FiscalNote Announces Sale of Board.Org Community Engagement Platform for up to $103 Million in Total Consideration

FiscalNote Holdings, Inc. (NYSE: NOTE), a leading AI-driven enterprise SaaS technology provider of policy and global intelligence, today announced the divestiture of its Board.org business to Executive Platforms, a portfolio company of Falfurrias Capital Partners, for $95 million in cash, subject to customary adjustments, and post-closing earnout opportunities for total consideration of up to $103 million. Board.org represents approximately 10% of FiscalNote’s FY 2023 GAAP revenue, reported separately today.

The resulting proceeds of the divestiture of Board.org provides FiscalNote with a bolstered capital structure, allowing the Company to allocate capital and resources to expand its AI leadership, grow its base of global customers and, over the long-term, drive predictable, high-margin compounding growth in its core policy and global intelligence businesses. The transaction allows FiscalNote to materially delever its capital structure by reducing its senior debt and increasing cash to strengthen its balance sheet as it continues to build upon its decade-long leadership and innovation in AI-enabled intelligence solutions.

Board.org is a peer-to-peer executive community platform focused on structured collaborative insights and unbiased, actionable advice from domain experts and leaders of various industries and functions, including social media, health, talent marketing, corporate social responsibility, enterprise data, and diversity, equity, and inclusion.

Board.org was acquired by FiscalNote in 2021 for $10 million in cash and $4.3 million in convertible securities ($14.3 million in total consideration), and operated as an independent product offering of FiscalNote. The divestiture aligns with the Company’s refined product strategy and allows FiscalNote to focus on its core policy, regulatory and geopolitical intelligence products, which we expect to deliver strong, profitable growth long-term.

“The divestiture of Board.org is a clear illustration of the stark undervaluation of FiscalNote in the public markets. Further, it is evidence of our ability to deploy capital to drive the strongest return on investment over time,” said Tim Hwang, Chairman, CEO, and Co-founder of FiscalNote. “Over our three-year ownership period, FiscalNote meaningfully grew Board.org, launched new communities, and drove new innovation in community engagement, resulting in market share growth and sustained leadership within its niche market. We are grateful to the entire Board.org team for their contributions to FiscalNote and we look forward to their ongoing success in the peer-to-peer executive community platform sector and will continue to support the team through a successful transition. We have full confidence that management will achieve its $17.5 million earnout revenue target.”