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Intuit in Discussions To Acquire Mailchimp for More Than $10 Billion

Mailchimp has been in the market for a potential buyer for at least a month.

Video source: YouTube, Mailchimp

Intuit Inc (Nasdaq: INTU), the accounting, tax filing and financial planning software giant, is in talks to buy Mailchimp, an Atlanta-based digital marketing company, for more than $10 billion, Bloomberg News reported Wednesday. 

Citing sources familiar with the matter, Bloomberg noted that a final decision has not yet been made and that another buyer could also emerge.

If the transaction is consummated, however, it would be Intuit’s largest deal to date, surpassing the $7.1 billion the company paid last year for fintech startup Credit Karma Inc

Neither Intuit nor Mailchimp commented on the report.

Bloomberg first reported last month that Mailchimp — a 20-year-old company whose offerings include email campaigns, social advertising, shoppable links and automation products — was exploring the possibility of a sale of a minority stake or all of the company. The company also received interest from private equity firms and unnamed “large technology firms,” according to the report.

Best known as the developer of TurboTax and QuickBooks, Intuit has been looking to capitalize on the economic recovery that as small businesses get back on track following pandemic-related disruptions.

The report follows better-than-expected earnings news last week from Intuit, which posted $2.6 billion in revenue for the fiscal fourth quarter, up 41% from the same period the previous year.

“We had a very strong fourth quarter capping off an outstanding fiscal 2021,” Intuit’s chief executive officer Sasan Goodarzi said in a statement.

“Our momentum continues across the company with accelerated innovation focused on our customers’ most important needs while creating durable growth opportunities for Intuit in the future.”

[Note: Equities News is a customer of Mailchimp.]


Source: Equities News

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