Salesforce to pay $212 mln plus stock for Heroku
TEL AVIV (MarketWatch) — Salesforce.com Inc., the provider of applications, app-development platforms and related services, definitively agreed to buy Heroku, the provider of a platform for developing social-networking and other mobile-services applications using the Ruby language. The deal price is $212 million net of Heroku’s cash on hand, Salesforce said in a Wednesday statement. In addition, Salesforce will lay out $27 million of restricted stock to Heroku’s about 30 staffers and will pay $10 million for unvested Heroku shares. Both companies are based in San Francisco. Heroku currently powers 105,000 applications written by Ruby developers, Salesforce said. Salesforce expects the deal to cut adjusted earnings by 2 cents a share in the fiscal 2011 fourth quarter ending Jan. 31 and by 12 cents to 13 cents a share in fiscal 2012. It should have no effect on revenue in the fourth quarter or fiscal 2012.
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