AllThingsD reports that Salesforce.com is close to a deal to acquire Buddy Media, a venture capital-backed company that provides social media marketing services for enterprises. According to the article, Buddy Media is being valued at more than $800 million. In its most recent funding round in August 2011, Buddy Media was valued at $500 million. According to a TechCrunch article, as of last year Buddy Media projected a revenue run rate of $100 million for 2012. This suggests an 8x forward revenue multiple for the acquisition.
GigaOM calls this a "smart play" for Salesforce.com as CRM is evolving past its sales process roots to include branding, social media interactions and marketing for customers.
Venture capital investors in Buddy Media include Bay Partners, GGV Capital, Greycroft Partners, Insight Venture Partners, Institutional Venture Partners and SoftBank Capital.
Link to AllThingsD article:
http://allthingsd.com/20120529/salesforce-set-to-snap-up-facebook-friend-buddy-media-for-more-than-800-million/
LInk to the TechCrunch article: http://techcrunch.com/2012/05/29/salesforce-acquires-buddy-media/
Link to the GigaOM article: http://gigaom.com/2012/05/29/salesforce-close-to-buying-buddy-media-for-800m/
GigaOM calls this a "smart play" for Salesforce.com as CRM is evolving past its sales process roots to include branding, social media interactions and marketing for customers.
Venture capital investors in Buddy Media include Bay Partners, GGV Capital, Greycroft Partners, Insight Venture Partners, Institutional Venture Partners and SoftBank Capital.
Link to AllThingsD article:
http://allthingsd.com/20120529/salesforce-set-to-snap-up-facebook-friend-buddy-media-for-more-than-800-million/
LInk to the TechCrunch article: http://techcrunch.com/2012/05/29/salesforce-acquires-buddy-media/
Link to the GigaOM article: http://gigaom.com/2012/05/29/salesforce-close-to-buying-buddy-media-for-800m/
