Zoom Video Communications, whose services became popular worldwide during the COVID-19 pandemic, is set to acquire cloud software provider Five9 for about $14.7 billion in its first major purchase.
Gatekeepers News quoted Financial Times as reporting that all-stock trading will evaluate Five9 shares at $ 200.28 and its shareholders will get 0.5533 shares of Zoom Class A common stock. Five9’s share price closed at $ 177.60 on Friday.
Zoom’s contract with Five9, which renders call centres via cloud computing, will further expand the company’s ZoomPhone service. This is because a company based in San Jose, California is planning for a post-pandemic slowdown.
Zoom’s annual sales, in 12 months to January 31, have quadrupled to $ 2.65 billion, with stocks up more than 400 percent since early 2020, but below October’s highs.
Gatekeepers News on Sunday, Zoom CEO, Eric Yuan said: “We are constantly looking for ways to enhance our platform. The addition of Five9 is a natural fit that provides more happiness and value to our customers.”
Zoom is primarily known for its video conferencing services, promoting a variety of office collaboration products, including the cloud phone system ZoomPhone and its conferencing software ZoomRooms.
Five9 software is used by many companies that Zoom wants MovingIncludes, Microsoft Teams and Salesforce.
