Zoom acquires five9 in the second largest tech deal in the US

Zoom acquired the US cloud call firm Five9, which is the biggest acquisition of Zoom to date, for an all-stock deal worth 14,7 billion USD. This is also Zoom's first billion-dollar contract.

It is not only the largest acquisition of Zoom but also the second-largest tech deal with the United States, just behind the proposed acquisition of Nuance Communications by Microsoft at 16 billion dollars.

Five9 has become a Zoom operational unit when the deal has been complete. For each Five9 shares, 59 shareholders will receive 0.5533 Zoom shares. The share is worth $200.28 apiece, representing a premium of 13 percent and almost 14 percent of the current Zoom market cap of $107 billion.

The deal is set to end in the first half of 2022 both Zoom and Five9.

Zoom will have access to the cloud calling market for the first time after this deal. More than 2,000 Five9 clients including companies including Citrix, Under Armour, and many more, will also get access to Zoom.

Eric Yuan, CEO of Zoom said about the acquisition:

We constantly seek to improve our platform, and the inclusion of Five9 offers our customers even more happiness and value

We may also expect Zoom to release new features next year after this development, although there is little information on this because it is too early for such details.

Post a Comment

Please do not enter any spam link in the comment box.