Tech giant Microsoft announced acquisition of professional network LinkedIn for $196 per share in an all-cash transaction valued at $26.2 billion, inclusive of LinkedIn’s net cash.
Both the companies have entered into a definitive agreement for the same. The transaction is likely to close by year end, after pending regulatory and other approvals.
Following the acquisition, LinkedIn will work as an independent unit within Microsoft. However, Linked CEO Jeff Weiner will remain chief executive reporting to Microsoft CEO Satya Nadella.
Praising leadership of Microsoft CEO Satya Nadella, Weiner wrote:
The Microsoft that has evolved under Satya’s leadership is a more agile, innovative, open and purpose-driven company.
“When Satya first proposed the idea of acquiring LinkedIn, he said it was absolutely essential that we had alignment on two things: Purpose and structure.”
Talking about the team at LinkedIn, Satya Nadella said that it had grown a fantastic business centered on connecting professionals of the world.
“Together we can accelerate the growth of LinkedIn, as well as Microsoft Office 365 and Dynamics as we seek to empower every person and organization on the planet,” Nadella noted.
In an email to Microsoft employees, Nadella spoke about the deal: “We are in pursuit of a common mission centered on empowering people and organizations. Along with the new growth in our Office 365 commercial and Dynamics businesses this deal is key to our bold ambition to reinvent productivity and business processes.