Salesforce to Acquire Informatica for $8 Billion to Boost AI and Data Management Capabilities

Salesforce to Acquire Informatica for $8 Billion to Boost AI and Data Management Capabilities

Last Updated May - 28 - 2025, 04:08 PM | Source : Fela News

Salesforce announces an $8 billion acquisition of Informatica to enhance its AI-powered data management tools. The deal marks Salesforce’s biggest since Slack a

Salesforce announced on Tuesday that it will acquire Informatica for approximately $8 billion, aiming to strengthen its position in the rapidly growing artificial intelligence sector through enhanced data management capabilities. This marks Salesforce's return to major acquisitions after a period of caution, influenced by activist investors demanding better profitability. Earlier negotiations with Informatica stalled last year due to disagreements over terms, but talks resumed in April amid interest from several potential buyers, including private equity firms and other companies. Among the interested parties were Thoma Bravo and Cloud Software Group, though neither commented on the matter.

This acquisition, Salesforce’s largest since its $28 billion purchase of Slack Technologies in 2021, is expected to expand its data management offerings and support its push to integrate AI more deeply into its products. CEO Marc Benioff stated that combining Salesforce and Informatica will create the industry’s most comprehensive data platform, reinforcing their position in the $150 billion-plus enterprise data market. Salesforce has already made progress with AI-powered agents that automate tasks like recruitment and customer service, closing over 1,000 paid deals for its "Agentforce" platform.

The deal values Informatica at $25 per share, representing a roughly 30% premium over its closing price on May 22, the day before renewed talks became public. Following the announcement, Informatica’s shares rose 5.8% to $23.86, while Salesforce’s shares gained 1.78%.

Salesforce plans to finalize the deal early in the next fiscal year, starting February, using a combination of cash and new debt. The acquisition is expected to improve Salesforce’s operating margin beginning in the second year after closing.

Analysts at Scotiabank believe this move will help Salesforce keep pace with competitors, as data management software is increasingly sold as part of larger software packages. Salesforce has been active in acquisitions, previously buying Tableau Software in 2019 for $15.7 billion and Slack in 2021. These deals drew attention in 2023 when activist investors like ValueAct Capital and Elliott Management pushed for changes to boost profitability.

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