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Friday, September 21, 2018
Adobe to Acquire Marketo for $4.75 Billion

Adobe has entered into a definitive agreement to acquire Marketo, a cloud platform for B2B marketing engagement.

With nearly 5,000 customers, Marketo brings together planning, engagement and measurement capabilities into an integrated B2B marketing platform. The company sells marketing software that companies use to identify and reach new customers through email, text messages, social media and other channels. It also offers analytical services, and is particularly strong in helping businesses market to other businesses.

Adobe, the maker of image-editing tool Photoshop, has sought to develop a software suite that includes advertising, analytics and e-commerce programs. Adobe purchased Magento Commerce for $1.7 billion in June to enter the market for e-commerce. Marketo, owned by Vista Equity Partners LLC, provides one of the last pieces of that puzzle.

The deal, which would be Adobe's largest ever, is expected to close during the fourth quarter of fiscal 2018, the San Jose, California-based company said Thursday in a statement.

Upon close, Marketo CEO Steve Lucas will join Adobe's senior leadership team and continue to lead the Marketo team as part of Adobe's Digital Experience business, reporting to executive vice president and general manager Brad Rencher.

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