LivePerson stockholders voted to approve their company's sale to SoundHound AI on September 2, removing the last shareholder barrier to a deal that underpins virtually all of SoundHound's ambitious 2027 revenue guidance. Shares of SOUN sat at $6.83, barely moving on the news — a signal that markets had already priced in approval after the initial announcement in April. SoundHound Clinches LivePerson Vote to Chase $400 Million in Revenue — but Is It Buying Growth or Buying Time?
Shares barely flinched as SoundHound AI locked in the final piece of its biggest acquisition yet. On September 2, LivePerson stockholders voted to approve the merger with SoundHound AI , and the transaction is expected to close on September 4, 2026 . SOUN closed at $6.83, down just 0.3% — a muted reaction that suggests the market had already baked in the outcome after months of proxy drama. The question now shifts from if the deal closes to whether it can deliver.
The Vote Nearly Failed — and That Tells You Something About LivePerson
LivePerson's August 20 special meeting was adjourned to September 2 after failing to secure enough shareholder votes . Over 97% of shares that were voted favored the merger, but the company was still a few percentage points away from the majority-of-all-outstanding-shares threshold required . That apathy among LivePerson holders reflects a company in decline: LivePerson had 2025 annual revenue of $243.7 million, down 22% , with an operating loss of $78.7 million and a $41.6 million goodwill writedown . SoundHound is buying a shrinking asset.
A $43 Million Price Tag Masks a $250 Million Bet The equity value of roughly $43 million looks cheap, but the total enterprise value — which includes debt obligations — is approximately $250 million. LivePerson stockholders will receive SoundHound shares worth roughly $3.33 per share, a 22% premium over the pre-announcement trading average . That means SoundHound is issuing its own stock to absorb a money-losing business, diluting existing shareholders in exchange for revenue that has been contracting for two straight years.
Management's 2027 Target Hinges Almost Entirely on This Deal
Management has guided to a 2027 floor of $350 million to $400 million, and that floor assumes LivePerson is inside the company . SoundHound expects at least $100 million of growable contribution from LivePerson's long-tenured customers . Yet consensus estimates project only $271 million in 2027 revenue — well below management's own guidance , signaling Wall Street doubts that LivePerson's declining revenue base can be stabilized, let alone grown.
The Stock Price Says the Market Is Skeptical SOUN has shed roughly 5.4% over the past week, sliding from $7.22 to $6.83, even as the deal neared approval. SoundHound is growing fast, but falling gross margins and widening losses are keeping the market cautious — the stock has lost 41% this year . With $216 million in cash and no debt , SoundHound has runway. But execution on integration — turning LivePerson's declining customer base into growth — is now the only story that matters.