Adobe Got Figma!

Adobe Got Figma!

Adobe Inc agreed on Thursday to acquire Figma, whose products are used by software developers to collaborate, for $20 billion, sparking investor concerns about the rich price tag that led to a drop of more than $30 billion in the market value of the Photoshop maker.

The deal is expected to close in 2023 and San Francisco-based Figma will continue to be led by co-founder and Chief Executive Dylan Field. Either company will have to pay a termination fee of $1 billion if they scrap the deal. Meanwhile, Adobe's fourth-quarter revenue forecast of $4.52 billion came in below the $4.58 billion estimated by analysts, according to Refinitiv data. Third-quarter profit also fell nearly 6 per cent, reflecting the hit from a stronger dollar and higher costs.

Reference:

Adobe to acquire online design platform Figma for $20 billion, but its investors aren’t pleased
Prior to Figma, Adobe’s largest acquisition was that of software maker Marketo for $4.75 billion in 2018.