Adobe—the makers of the picture-editing software Photoshop, is in talks with Marketo—a privately held marketing software company for its purchase, as per the people who are aware of the matter.
The deal would be boosting Adobe’s cloud-based software offerings as it takes on larger giants Microsoft and Oracle.
Marketo provides business-to-business marketing applications that would be complementing Adobe’s marketing business.
A private equity company Vista Equity Partners Management LLC acquired Marketo private two years back for $1.8 billion. Adobe is anticipated to pay suggestively much more than that should a deal be made, as revealed by the sources. However, the exact amount being taken into consideration is not known.
There is no assurance that the talks between Adobe and Vista Equity would be finalising into a deal or not, as per the sources who shared the information on the basis of anonymity as the matter is confidential.
Adobe and Vista Equity have denied commenting on the matter, while Marketo was also not quick to respond when contacted for comments.
Adobe has got a market capitalization of $130 billion, it has topped the profits and revenue estimates of the analysts for the past eight quarters, led by strength in its digital media business, which shelters its flagship product Creative Cloud.
The San Jose—California-based firm has been active in searching for possible acquisitions. In the month of May, it agreed upon buying e-commerce services provider—Magento Commerce from a private equity company—Permira for $1.68 billion, as a step to boost its Experience Cloud business.
Marketo was founded in 2006 as an email marketing service and is located in San Mateo—California. in 2017, it generated a revenue of nearly $321 million, as per the credit ratings agency—Moody’s Investors Service.
I am a writer/editor at Research Snipers RS-NEWS and its been 2 years working with the company. My specialties are social, business and development news.