IBM in acquisition talks with Atlanta's Silverpop
Craig Warga/Bloomberg
IBM Inc. is said to be in acquisition talks with Atlanta's Silverpop.
IBM[6] Corp. is in acquisition talks with Atlanta marketing automation firm Silverpop, according to multiple sources.
The Armonk, NY-based computer networking company is said to be offering about three-times Silverpop’s annual revenues, which are estimated to be $80 million-$90 million. That would translate into an acquisition price of up to $270 million.
A 3X return would be in line with how much Salesforce reportedly offered for Silverpop in 2010, a source said.
Silverpop CEO Bill Nussey[7] and IBM did not return calls.
Deal talks between the companies are believed to be far along. “I’d be surprised if it didn’t happen,” a source said, noting the deal could get done within 30 days.
Silverpop helps marketers interact with customers via e-mail, social networks, mobile and websites. Using Silverpop software and services, marketers monitor customer behavior--such as whether a customer commented on a company blog post, viewed a marketing video or talked about the business on Twitter. That data can help fine-tune the messaging.
Silverpop, which employs about 500, is part of a cluster of marketing technology companies in metro Atlanta. The space is seeing significant M&A activity with Atlanta’s Vitrue Inc.[8] being acquired by Oracle[9] Corp. and Pardot being taken over by ExactTarget.
Silverpop, which has been under pressure for an exit, has been considering strategic alternatives, including an IPO. Last summer, Nussey told Atlanta Business Chronicle he was not focused on selling[10] the company, but building a sustainable business for the long term.
"We're looking to grow a great business, and at some point we've got to get liquidity for our investors," Nussey noted in May. If along the way, Silverpop gets a good acquisition offer, Nussey said he'd look at it.
Urvaksh Karkaria covers Technology.
References
- ^ Urvaksh Karkaria (feeds.bizjournals.com)
- ^ This email address is being protected from spambots. You need JavaScript enabled to view it. (feeds.bizjournals.com)
- ^ Twitter (twitter.com)
- ^ Google+ (plus.google.com)
- ^ LinkedIn (www.linkedin.com)
- ^ IBM (www.bizjournals.com)
- ^ Bill Nussey (feeds.bizjournals.com)
- ^ Vitrue Inc. (www.bizjournals.com)
- ^ Oracle (www.bizjournals.com)
- ^ not focused on selling (www.bizjournals.com)