In Short:
Salesforce will acquire data protection provider Own Company for $1.9 billion to strengthen its data management capabilities during a time when data security is crucial. The deal, expected to close by early 2025, aligns with customer demands for better data protection amid rising cyber threats. Own, a long-time Salesforce partner, serves over 7,000 clients, including notable brands like Zoom and Lamborghini.
Salesforce, a leading enterprise cloud provider, has announced its agreement to acquire Own Company, a provider specializing in data protection and data management, in a significant transaction valued at approximately $1.9 billion. This acquisition occurs in a period marked by heightened emphasis on safeguarding data against loss stemming from system failures, human error, and cyberattacks, particularly amid the rise of artificial intelligence (AI).
Details of the Acquisition
According to Salesforce’s statement released on Thursday, the acquisition will be executed for approximately $1.9 billion in cash, adjusted for the value of the roughly 10% of outstanding shares that it already owns. The deal is anticipated to close in the fourth quarter of Salesforce’s fiscal year 2025.
Salesforce expects the transaction to result in free cash flow accretion starting in the second year post-closing and continuing thereafter. The company also noted that there would be no expected changes to its financial guidance for fiscal year 2025 as a result of this acquisition.
Statements from Leadership
Steve Fisher, President and General Manager of Einstein 1 Platform and Unified Data Services at Salesforce, emphasized the importance of data security, stating, “Data security has never been more critical, and Own’s proven expertise and products will enhance our ability to offer robust data protection and management solutions to our customers.”
Sam Gutmann, CEO of Own, expressed enthusiasm for the partnership, highlighting that it aligns with their mutual commitment to data resilience and security. He noted, “Together with Salesforce, we’ll deliver even greater value for our customers by driving innovation, securing data, and ensuring compliance in the world’s most complex and highly regulated industries.”
About Own Company
Founded in 2012, Own has been a partner on the Salesforce AppExchange and is part of the Salesforce Ventures portfolio. Currently, Own serves over 7,000 customers, including noteworthy names such as Ciena, Adecco, Zoom, and Lamborghini, as indicated on its website. The company has successfully raised over $500 million in funding from prominent investors including BlackRock, Salesforce Ventures, and Tiger Global, and has formed partnerships with leading firms such as ServiceNow and Microsoft Dynamics 365.
The Own Data Platform offers solutions for data archiving, seeding, security, and analytics, thereby helping customers maintain the availability, compliance, and security of their critical software-as-a-service (SaaS) data.
