Slack shares soar nearly 40% on news of possible takeover

Slack shares soar nearly 40% on news of possible takeover
Slack shares soar nearly 40% on news of possible takeover

Investing.com — Salesforce is in talks to acquire corporate messenger Slack, and an informed source said such a deal could be reached as early as next week, CNBC writes..

Following the news of a possible takeover, Slack shares jumped nearly 40% ahead of Wednesday's close. The company's market capitalization surges to over $ 20 billion, while Salesforce shares fell 5%.

In recent years, Salesforce has been active in acquisitions of new, growing companies, thanks to the increase in its market capitalization. So, in 2018, she acquired MuleSoft for $ 6.5 billion to connect cloud services, and in 2019 she spent more than twice as much to buy Tableau — data visualization companies — for $ 15.3 billion.

Experts already expect the Slack deal to be the largest of its kind, like IBM's $ 34 billion acquisition of Red Hat, Microsoft's $ 27 billion acquisition of LinkedIn and Facebook. — WhatsApp for $ 19 billion.

According to analyst Dan Aivaz of Wedbush Securities, such an acquisition «will change the rules of the game for Benioff [Salesforce CEO Marc Benioff] that will allow him to further build collaboration and more products as cloud spending increases across the enterprise».

We note that Microsoft shares have declined slightly since the news was released, competing with Salesforce for customer software. In 2016, Microsoft even thought about buying Slack for up to $ 8 billion, but the deal never materialized. Later that year, Microsoft introduced the Teams communications app, which competes with Slack. Microsoft was able to convert its vast customer base to Teams, and Salesforce can give Slack the same edge.

— In preparation, materials from CNBC were used.

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