Upland Software Acquires Adestra for $60 Million
Upland Software, a provider of cloud-based enterprise work management software, has acquired Adestra Ltd., a provider of enterprise-grade email marketing, transaction, and automation software. The purchase price paid for Adestra was $56 million in cash at closing, net of cash acquired, and a $4.2 million cash holdback payable in 12 months (subject to indemnification claims).
Adestra's cloud solution enables over 400 brands to understand and engage individual customers with relevant, timely, and effective communications. Adestra will be combined with Upland's mobile messaging, customer engagement, and knowledge management solutions to create a product suite serving the $5.9 billion CXM market which is forecast to grow 23% per year to $16.9 billion by 2022.
According to Upland, the acquisition of Adestra adds a fundamental component to Upland's CXM Solution Suite, which now includes multi-channel messaging and email, automated mobile conversations via SMS, MMS, and RCS, mobile wallet functionality, Voice of Customer (VOC) and Voice of Employee (VOE) solutions, advanced knowledge management, and marketing automation and personalization.
“Moreover, the transaction is immediately and meaningfully accretive to adjusted EBITDA per share and takes Upland to an approximate $190 million annualized revenue run rate," noted said Jack McDonald, chairman and CEO of Upland Software.
Upland says it will also continue to buy, build, and integrate additional components to this CXM offering in order to enable more personalized customer experience, enhanced multi-channel engagement across the customer journey, deeper process automation, sophisticated analytics and reporting, and coordinated services delivery with CXM expertise.
"Sophisticated enterprises need multiple intelligent, inter-connected communications channels that integrate with key platforms to meaningfully engage across the entire customer journey at scale," said Jed Alpert, SVP of Customer Experience Management Solutions at Upland Software. "Adestra's established presence in restaurant and retail, travel, media and publishing, and nonprofits, enhances our existing strengths in these industries, and the addition of their technology to Upland's Customer Experience Management suite will enable our customers to deliver consistently personalized, multi-channel experiences across their entire customer lifecycle."
To learn more, visit www.uplandsoftware.com.