Rosetta Stone (RST) acquires Fit Brains developer Vivity Labs for $12M cash, expanding Rosetta's offerings outside language learning into "adjacent categories of technology-driven education." Transaction close is expected in Jan.
Vivity's flagship app, Fit Brains Trainer, has been downloaded nearly 5M times in the last year.
Rosetta expects Vivity to contribute revenue of $3M-$5M in 2014 and EBITDA of $1M-$2M. Beyond 2015, Rosetta expects double-digit revenue and EBITDA growth.