Zoom is buying cloud contact center provider Five9 for $14.7 billion
Zoom announced on Sunday that it's buying Five9, a provider of cloud contact center software, in an all-stock transaction valuing the company at $14.7 billion.
The deal marks Zoom's first billion-dollar acquisition and comes as the company prepares for a post-pandemic world with employees returning to the office. It's the second-biggest U.S. tech deal this year, behind Microsoft's planned $16 billion purchase of Nuance Communications, according to FactSet.
"We are continuously looking for ways to enhance our platform, and the addition of Five9 is a natural fit that will deliver even more happiness and value to our customers," said Zoom CEO Eric Yuan in a press release.
Five9 closed on Friday with a market cap of $11.9 billion, or $177.60 a share. Zoom said Five9 stockholders will receive 0.5533 shares of Zoom Video Communications for every Five9 share. That values Five9 at $200.28 a share, a 13% premium, and represents about 14% of Zoom's market cap of close to $107 billion.
Zoom has been among the top growth stories in the 16 months since Covid-19 caused a sudden shutdown of offices across the globe, forcing workers in finance, retail, tech and law offices to communicate from remote locations.
