Volaris Group Inc. entered into an agreement to acquire Situational Intelligence solutions from Cognyte Software Ltd. (NasdaqGS:CGNT) for $82.5 million on October 19, 2022. Under the terms of the transaction, Volaris will pay $47.5 million in cash with a customary holdback to secure customary post-closing price adjustments and indemnification claims subject to release following the later of 180 days after the closing and settlement of the customary price adjustments at closing and a performance based earn-out payments in cash of up to approximately $35 million based on performance of the divested assets over three years after the closing. As part of the transaction, employees related to Situational Intelligence solutions will join Volaris.

The transaction is subject to obtaining regulatory approvals and is expected to close in Cognyte's fourth quarter. Houlihan Lokey acted as financial advisor to Cognyte. Houlihan Lokey, Inc. (NYSE:HLI) acted as Fairness Opinion Provider to Cognyte Software Ltd. (NasdaqGS:CGNT).