Salesforce to Buy Tableau Software

CRM giant Salesforce has agreed to acquire analytics platform Tableau Software, in an all-stock transaction valued at around $15.7 billion, net of cash.

Tableau offers a self-service analytics platform allowing non-specialists to work with data and used by more than 86,000 corporate customers around the world. New owner Salesforce operates Customer 360, giving companies a complete, intelligent view of their customers across touchpoints including sales, service, marketing and commerce; and the pioneering Einstein AI-powered analytics product. The firms say the combination will give Salesforce 'the most intelligent and intuitive analytics and visualization platform for every department and every user at any company', reaching 'a much broader set of customers and users'.

The two firms will also pool communities of users - 1.4m 'Trailblazers' from Salesforce and 1m 'data enthusiasts' from the Tableau Community - to create what the firms claim will be 'the largest group of digital business experts in the world'.

Under the terms of the transaction, which has been approved by both companies' boards, Salesforce will commence an exchange offer to acquire all of the outstanding shares of Tableau, whose founders Christian Chabot, Patrick Hanrahan and Christopher Stolte have agreed to tender all theirs.

Following the acquisition close, expected during Salesforce's fiscal third quarter ending October 31st this year, Tableau will operate independently under its existing brand, and will remain headquartered in Seattle, WA, led by President and CEO Adam Selipsky and the current leadership team.

Marc Benioff, Chairman and co-CEO, Salesforce, comments: 'We are bringing together the world's #1 CRM with the #1 analytics platform. Tableau helps people see and understand data, and Salesforce helps people engage and understand customers. It's truly the best of both worlds for our customers - bringing together two critical platforms that every customer needs to understand their world'. According to Selipsky, 'Joining forces with Salesforce will enhance our ability to help people everywhere see and understand data. As part of the world's #1 CRM company, Tableau's intuitive and powerful analytics will enable millions more people to discover actionable insights across their entire organizations'.

The transaction is expected to increase Salesforce's full year 2020 revenue by $350 - 400m, raising it to $16.45 - 16.65bn; and to decrease its full year non-GAAP operating margin by approximately (75) basis points year-over-year.

Web sites are at www.tableau.com and www.salesforce.com .