On Sunday, Zoom announced that it had entered into a definitive agreement to acquire call center software developer Five9 in an all-stock deal worth $14.7B.
Zoom CEO Eric Yuan stated that enterprises communicate with their clients mainly via the contact center. The company understands that this acquisition creates a prominent client engagement platform that will help revise how companies of all sizes connect with their clients.
On closing the transaction, Five9 would become an operating unit of Zoom with Five9 CEO Rowan Trollope will become Zoom’s president and remain in his current position while reporting to Yuan.
Each share of Five9 will be converted into 0.5533 shares in Zoom, and the deal is expected to close in the first half of 2022.
Trollope stated that businesses spend a considerable amount of resources yearly on their contact centers; however, they still, struggle to provide a flawless experience for their clients.
He further said that this acquisition will offer Five9’s business clients access to the best of breed solutions especially Zoom Phone, that will allow them to recognize more value and offer substantial results for their business.
Zoom’s simple to use philosophy and broad communication portfolio will absolutely allow clients to engage their favored channel.
In the previous year, Five9 stock has observed a rise from about $120 a share to the top at $198 in February and is currently nearby the $177 mark.
Last month, Zoom reported a revenue increase of 191% to about $956 million in the first quarter and GAAP net income of $227 million, up to $27 million.
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