SAP has announced that it will acquire WalkMe, a leader in Digital Adoption Platforms (DAP).
SAP's Executive Board and Audit Committee and WalkMe's Board of Directors have approved the transaction under which SAP will acquire WalkMe for $14.00 per share in an all-cash transaction that values WalkMe at approximately $1.5 billion, a 45% premium to WalkMe's closing stock price on June 4, 2024.
The objective of the acquisition is to strengthen SAP's business transformation management portfolio, particularly the SAP Signavio and SAP LeanIX solutions, to support customers' transformation initiatives.
Christian Klein, CEO and member of the board of management of SAP SESaid:
Applications, processes, data and people are the four key drivers of successful business transformation. By acquiring WalkMe, we will double the support we provide to our end users, helping them rapidly adopt new solutions and capabilities to get the most value out of their IT investments.”
WalkMe's solutions help organizations manage ongoing technology change by providing advanced guidance and automation capabilities that enable users to seamlessly execute workflows across different applications, driving higher adoption of the underlying software and ultimately greater value realization.
“We are very excited to join forces with SAP. This acquisition marks an important milestone in our company's journey, providing us with the resources and customer base we need to strengthen our product offering and expand our market reach,” he added. WalkMe CEO Dan Adica“Tapping into SAP's extensive ecosystem provides us with significant growth opportunities and enables us to deliver even greater value to our customers. Together, we look forward to a future full of innovation and service excellence.”
The transaction is subject to standard conditions, including WalkMe shareholder and regulatory approval, and is expected to close by the third quarter of 2024. SAP does not expect the acquisition to have a material impact on its 2024 earnings.
Learn more about how WalkMe’s portfolio powers SAP
WalkMe helps organizations improve productivity and reduce risk by ensuring software and workflows are used consistently and effectively. Their DAP works with an organization's existing applications to identify where users struggle and provide the support and automation they need to complete tasks efficiently across any application. Importantly, WalkMe will continue to support non-SAP applications as well.
WalkMe is also preparing to release WalkMeX, a new tool that uses WalkMe's contextual awareness and AI to suggest the best next steps for any workflow, anywhere. WalkMeX works as an overlay for any application, including those from other vendors, and provides ongoing support.
SAP said that integrating WalkMe's powerful deployment capabilities with SAP's AI assistant, Joule, will improve productivity for all SAP customers. Additionally, combining WalkMe with the unique e-learning capabilities of the SAP Enable Now solution will be central to SAP's future people-centric transformation strategy.
What else has SAP been doing recently?
Earlier this week, SAP announced a series of new AI-powered customer experience capabilities to support sales and marketing departments.
SAP plans to empower agents by providing tools to automate and streamline time-consuming processes, as revealed in the company's Sapphire News Guide 2024. These new capabilities will be integrated into SAP Sales Cloud and include two forecasting solutions to boost sales efficiency.
Meanwhile, last month IBM and SAP announced plans to expand their existing collaboration to help deliver greater client productivity and innovation.
IBM and SAP announced a “new value creation partnership” that highlights the use of Gen AI and industry-specific cloud solutions. The companies believe these innovations will help “unlock business value” for clients by providing customized, cutting-edge tools and services.
