Salesforce Buys Slack at a Price That's Hard to Match

In a move that has sent shockwaves throughout the tech industry, Salesforce has announced its intention to buy Slack for $27.7 billion in cash and stock. The deal represents a 55% premium over Slack's closing price on November 24, the day before reports of the deal surfaced.

For those who may not be familiar with Slack, it's a popular communication platform that has become essential for many businesses around the world. Prior to this acquisition, Slack had raised more than $1 billion in venture capital, reaching a peak private valuation of just over $7.1 billion in 2018. The company went public earlier this year through a direct listing on the New York Stock Exchange (NYSE), valuing it at about $23 billion.

It's worth noting that Salesforce and Slack have had a long history of collaboration. In fact, the two companies have previously co-invested together in several venture deals, including two notable funding rounds earlier this year. This acquisition marks a significant milestone for both companies, with Salesforce CEO Marc Benioff describing it as 'a match made in heaven.'

Under the terms of the deal, Slack CEO Stewart Butterfield will continue to lead the business, which will be integrated into Salesforce's existing customer relationship management (CRM) platform. The combined company will have a vast array of tools and resources at its disposal, making it an even more formidable player in the tech industry.

The acquisition is also seen as a strategic move by Salesforce to expand its offerings beyond traditional CRM software. With Slack on board, the company can now offer its customers a comprehensive suite of communication and collaboration tools that will help them stay competitive in today's fast-paced business environment.

Overall, the sale of Slack to Salesforce marks a significant milestone for both companies, with far-reaching implications for the tech industry as a whole. As the dust settles on this massive deal, one thing is clear: the future of work is going to be shaped by these two innovative companies and their combined forces.

Salesforce buys slack price