Intuit acquires Mailchimp in $12bn cash and shares deal
Small business accounting firm Intuit, whose product suite includes payment management system Quickbooks, is acquiring the email marketing company Mailchimp in a cash-and-shares deal worth about $12 billion.
California-based Intuit said the deal advances its strategy to become an AI-driven expert platform.
“With the acquisition of Mailchimp, Intuit will accelerate two of its previously-shared strategic Big Bets: to become the centre of small business growth; and to disrupt the small business mid-market,” it said in a statement.
“Together, Intuit and Mailchimp will work to deliver on the vision of an innovative, end-to-end customer growth platform for small and mid-market businesses, allowing them to get their business online, market their business, manage customer relationships, benefit from insights and analytics, get paid, access capital, pay employees, optimise cash flow, be organised and stay compliant.”
The deal is expected to close in Intuit’s second quarter next year.
Mailchimp brings technology at scale along with global customer reach.
It began by offering email marketing solutions, and evolved into a global leader in customer engagement and marketing automation fuelled by a powerful, cutting-edge AI-driven technology stack. It has 13 million global users.
In an email to users, Ben Chestnut co-founder and CEO of Atlanta-based Mailchimp, said: “Since day one, setting our customers up for success has been our top priority, and we’re confident that our acquisition by Intuit will advance that mission and secure the legacy of support for small businesses that we’ve built over the last 20 years.”
Mr Chestnut recalled the firm’s beginnings alongside business partner Dan Kurzius and how he “sketched logo after logo before finally deciding that the monkey with a mail carrier hat struck just the right tone, while Dan sat next to me writing code and talking with customers”.
Morgan Stanley & Co acted as Intuit’s financial adviser and Latham & Watkins is serving as its legal adviser. Qatalyst Partners acted as financial adviser to Mailchimp asnd King & Spalding was its legal adviser.