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Zendesk acquires experience firm Momentive

United States – Global software company Zendesk, which provides software-as-a-service products related to customer support, sales, and other customer communications, has acquired Momentive, the America-based experience management firm, including its survey platform SurveyMonkey, with the aim to create a new powerful customer intelligence company.

The newly integrated customer intelligence company aims to bolster businesses’ efforts in connecting customers’ actions with how they “think and feel.” The company said the holistic view will give them the ability to truly listen to customers and develop a rich picture of the consumer.

Mikkel Svane, Zendesk’s CEO and founder, commented that they are excited to have SurveyMonkey join the Zendesk mission along with Momentive’s market research and insights products and together create a powerful new Customer Intelligence company. 

“We will deliver a rich, colorful picture of every customer so businesses really understand their customers and can build more authentic relationships,” said Svane.

Zander Lurie, Momentive’s CEO, said that they look forward to combining with Zendesk to advance their mission and accelerate their long-term growth strategy.

“Zendesk and Momentive share a culture centered around our people, our communities, and the customers we serve. The synergies between our companies are proximate and compelling. We are uniquely positioned to make Customer Intelligence a reality ​​while delivering significant value for our shareholders,” said Lurie.

Zendesk said the acquisition will see Momentive stockholders receiving 0.225 shares of Zendesk stock for each share of Momentive stock, a ratio which represents an implied value of approximately US$28 per outstanding share of Momentive stock based on the 15-day volume-weighted average price of Zendesk common stock up to and including October 26, 2021.

Through this move, Zendesk expects the combination to be growth accretive in its first full operating year and accelerate its revenue plan to US$3.5b in 2024, one year ahead of its previous target. Both companies’ respective sizable customer bases and complementary capabilities are also expected to provide significant opportunities for joint product adoption and increase Momentive’s enterprise traction, while Zendesk will reinvest savings from scale efficiencies into compelling growth opportunities to support the combination.