Adobe shares closed higher in the US Thursday as the software firm announced it would purchase B2B cloud platform, Marketo, for $4.75 billion. The deal will help improve Adobe’s marketing reach and support surging for demand cloud-based business marketing solutions.
Adobe shares ended the US Thursday trading session 0.55% higher at $266.34. However, the stock is a little lower, pre-market.
Adobe, Marketo deal
Adobe announced Thursday it is acquiring Marketo, in a deal that’s expected to close in the fourth quarter of Adobe’s 2018 fiscal year. Marketo currently has around 5,000 customers for is B2B consolidated, cloud-based marketing tech.
That would be a real boost for Adobe’s existing digital business marketing customers and also help it expand its reach in the growing word of cloud-based marketing solutions.
“The imperative for marketers across all industries is a laser focus on providing relevant, personalized and engaging experiences,” said Brad Rencher, executive vice president and general manager, Digital Experience, Adobe.
“The acquisition of Marketo widens Adobe’s lead in customer experience across B2C and B2B and puts Adobe Experience Cloud at the heart of all marketing,” Rencher added.
Marketo was equally upbeat on the deal.
“Adobe and Marketo both share an unwavering belief in the power of content and data to drive business results,” said Steve Lucas, Marketo’s CEO. “Marketo delivers the leading B2B marketing engagement platform for the modern marketer, and there is no better home for Marketo to continue to rapidly innovate than Adobe.”
Marketo CEO to join Adobe
The deal, is of course, subject to the usual regulatory approval and closing conditions and until it is completed, both firms will continue to operate independently, as they do currently.
Upon completion, Marketo’s CEO Lucas, will join the senior leadership team at Adobe and continue to lead the Marketo team. Lucas will report to executive VP and general manager, Rencher