Salesforce to Buy Demandware for $2.8 Billion

 

salesforce-cloudSAN FRANCISCO and BURLINGTON, MA — Salesforce, the world’s leading Customer Relationship Management company, and Demandware, the industry-leading provider of enterprise cloud commerce solutions, have entered into a definitive agreement under which Salesforce will acquire Demandware in a transaction worth approximately $2.8 billion (net of cash acquired). Under the terms of the agreement, Salesforce will pay $75.00 per share for Demandware in cash. The transaction is expected to close by July 31, 2016.

“Demandware is an amazing company—the global cloud leader in the multi-billion dollar digital commerce market,” said Marc Benioff, chairman and CEO, Salesforce. “With Demandware, Salesforce will be well positioned to deliver the future of commerce as part of our Customer Success Platform and create yet another billion dollar cloud.”

“Demandware and Salesforce share the same passionate focus on customer success,” said Tom Ebling, CEO, Demandware. “Becoming part of Salesforce will accelerate our vision to empower the world’s leading brands with the most innovative digital commerce solutions that enable them to connect 1:1 with customers across any channel.”

Salesforce’s acquisition of Demandware, a recognized leader in the space, will extend the company’s CRM leadership and position it to capture this multi-billion dollar digital commerce market with what will be the new Salesforce Commerce Cloud.

The Salesforce Commerce Cloud will be an integral part of Salesforce’s Customer Success Platform, creating opportunities for companies to connect with their customers in entirely new ways. Salesforce customers will have access to the industry’s leading enterprise cloud commerce platform, andDemandware’s customers will be able to leverage Salesforce’s leading sales, service, marketing, communities, analytics, IoT and platform solutions to deliver a more comprehensive, personalized consumer experience.

The acquisition is expected to increase Salesforce’s Fiscal 2017 total revenue by approximately $100 million to $120 million.