Zoom has become a household name and attracts investors since the outbreak of the pandemic caused businesses and schools to use the company’s services to organize online classes and meetings.
Zoom Video Communications Inc. has announced a $14.7 billion deal in stock to buy cloud-based call center operator Five9 Inc. also in the country, an unprecedented acquisition, as competition in Zoom’s core video conferencing business becomes fiercer.
Zoom has become a household name and attracts investors since the pandemic caused businesses and schools to use the company’s services to organize online classes and meetings.
The San Jose, California-based company is now shifting focus to its Zoom Phone cloud phone service and Zoom Rooms conferencing service as larger companies like Facebook and Google develop online products.
In the announcement, Zoom said the acquisition is expected to strengthen the company’s presence among corporate customers and enable increased long-term growth opportunities by adding a call center market. call.
Five9 Inc will be a complement to Zoom Phone, with business customers and call center software to optimize customer interactions across channels.
Five9’s clients include Under Armor, Lululemon Athletica Inc, and Olympus Corp.
Five9 will become a division of Zoom and Five9 CEO Rowan Trollope will become the company’s President under a deal expected to close in the first half of next year.
Under the agreement, which has been approved by the two companies’ boards, Five9 shareholders will receive 0.5533 Zoom Class A common shares for each Five9 share.
According to the closing price of the session of July 16 with Zoom’s class A common shares, each Five9 common share is priced at $200.28.