Plotted by close date where disclosed, otherwise announcement. Select any marker to jump to the deal entry.
Three patterns run through Freshworks's acquisitions — what it looks for, how it pays, and how it folds in what it buys.
4 acquisitions — each with the deal value, financing structure, target revenue, and executive commentary where disclosed.
Device42 is an IT asset management company that provides comprehensive, continuously up-to-date views of assets across an organization's entire IT infrastructure - from mainframe to cloud. Freshworks acquired all outstanding equity of D42 Parent, Inc. through its wholly-owned subsidiary Doppler Merger Sub, Inc. The combination lets Freshworks offer a more comprehensive IT solution, pairing Device42's asset discovery and application dependency mapping with Freshworks' Freshservice ITSM platform. $230 million aggregate purchase price (announced; $215M cash + $15M equity rollover, plus up to $20M in retention RSUs). Total purchase consideration recorded at $238.1 million per the FY2024 10-K business combination note.
This move reinforces our position in the ITSM market and shows our commitment to delivering value to IT teams worldwide.Dennis Woodside — Chief Executive Officer, Freshworks Inc.
This acquisition represents a significant step forward in delivering more comprehensive IT solutions that empowers organizations to optimize IT operations.Raj Jalan — Chief Executive Officer & Founder, Device42
Freshworks CEO, earnings call: "We did do the Device42 acquisition. Didn't have a huge revenue installed base, and we actually were pretty open that we expect that installed base to have disruption to it because it was mainly through a partner competitor, and so we expect a lot of that to go away. The thesis of that buy was on cross-selling into our existing Freshservice installed base, but also higher win rates, specifically as we're moving up enterprise and we're competing more and more with ServiceNow, and so that one is playing out."
Incident management software company providing AI-powered incident management, acquired to expand Freshworks' IT service and operations portfolio. $88.7 million in cash (including $4.3 million of cash acquired).
Natero is a customer-success management software company whose SaaS platform applies machine learning to help businesses reduce churn and grow customer accounts. Freshworks acquired Natero to add customer-success capabilities to its unified customer-engagement platform.
Zarget is a marketing-software startup offering a suite of Conversion Rate Optimization (CRO) tools, including A/B testing, heatmaps and funnel analysis, that help marketers understand and improve how users interact with their websites. The deal marked Freshworks' entry into marketing software.