Cloud communications platform provider Twilio Inc has said it would purchase customer information platform Segment for $3.2 billion within an all-stock deal.
Twilio’s shares rose more than 9% to $335 in premarket trading.
The announcement of the deal, expected to close in the fourth quarter of Twilio’s financial 2020, comes after the company estimated third-quarter earnings above its prior forecast earlier this month.
Cloud companies have seen a spike in demand this year as more businesses use their services to fulfil the requirements of the change to work from home on account of the ongoing COVID-19 pandemic.
Following the deal, Segment will become part of Twilio.
Morgan Stanley & Co was Twilio’s financial advisor, while Cooley LLP has been its legal advisor.
The team at Platform Executive hope you have enjoyed this news article. Initial reporting via our official content partners at Thomson Reuters. Reporting by Akanksha Rana in Bengaluru. Editing by Shounak Dasgupta.
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