Let's look back at how fast Salesforce was growing before the deal was announced, why it wants to buy Slack, and if the takeover will strengthen its core business.įor the full year, Salesforce expects its revenue to rise by about 23% and for its adjusted EPS to grow 55%. Salesforce CEO Marc Benioff called the deal a 'match made in heaven' that will 'shape the future of enterprise software and transform the way everyone works in the all-digital, work-from-anywhere world.'īut Salesforce's investors seemed to disagree, and its stock has declined nearly 10% since the deal was announced. It plans to fund the deal with a mix of cash and new debt, and it recently secured a $10 billion loan from three major banks to close the deal. Salesforce ended last quarter with $3.7 billion in cash and equivalents, $5.8 billion in marketable securities, and $2.7 billion in long-term debt.

The cloud services company will pay $26.79 in cash and 0.0776 shares of its own stock for each share of Slack, and it expects the deal to close in the second quarter of fiscal 2022 (between next May and July). Salesforce ( CRM 4.21%) agreed to buy the enterprise communications company Slack ( WORK) for about $27.7 billion at the beginning of December.

Salesforce purchase slack