Salesforce, the global leader in CRM, announced on Wednesday that it has signed a definitive agreement to acquire the Israeli ClickSoftware, a leader in field service management solutions, for approximately $1.35 billion.
The addition of ClickSoftware will enhance Salesforce Service Cloud’s leadership as the #1 service platform, empowering every service employee from the contact center to the field to deliver more connected, intelligent customer service, said Salesforce in a statement.
ClickSoftware enables companies to intelligently schedule and optimize field service work. Salesforce Field Service Lightning, built on Service Cloud, harnesses the latest in dispatching, mobile workforce empowerment and IoT technologies to empower companies to connect their entire service workforce on a single, centralized platform. With the combined capabilities of Field Service Lightning and ClickSoftware, Salesforce will be positioned to lead the way to the future of field service.
Most of ClickSoftware’s employees are currently employed in the United States, but it still employs about 200 of its 700 employees in Israel.
According to a report in the Calcalist business newspaper, ClickSoftware’s employees in Israel will integrate into the Salesforce Development Center in Israel upon completion of the acquisition.
“Delivering exceptional field service is an increasingly important priority for companies across industries with more than 70 percent of customer service leaders making significant investments to transform their mobile workforce,” said Bill Patterson, EVP and GM of Salesforce Service Cloud.
“Our acquisition of ClickSoftware will not only accelerate the growth of Service Cloud, but drive further innovation with Field Service Lightning to better meet the needs of our customers. We are thrilled to welcome the ClickSoftware team to Salesforce,” he added.
“Our mission has been clear since the beginning—to be the global leader in field service management and deliver significant value to our customers. Joining Salesforce provides a tremendous opportunity to accelerate this vision,” said Mark Cattini, CEO of ClickSoftware. “As a part of Salesforce, we will be able to innovate faster, enabling our joint customers to deliver even better experiences to their customers. This is an exciting milestone, and I look forward to what we’ll deliver to our respective customers as one company after close.”
Under the terms of the definitive agreement, Salesforce will acquire ClickSoftware for an amount expected to be approximately $1.35 billion, net of the value of shares currently owned by Salesforce, after taking into consideration estimated purchase price adjustments.
The purchase price will comprise a mix of cash and Salesforce common stock and includes the assumption of outstanding equity awards held by ClickSoftware employees. The acquisition is expected to close during Salesforce’s fiscal quarter ending October 31, 2019, subject to customary closing conditions, including the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and Israeli antitrust clearance.