Summary
Workday, Inc. has officially completed its acquisition of Adaptive Insights, Inc. for approximately $1.55 billion. This strategic move, finalized on August 1, 2018, involved a merger where Adaptive Insights became a wholly-owned subsidiary of Workday. The consideration includes cash payments and the assumption of outstanding equity awards, with additional restricted stock unit awards of up to $50 million planned for continuing Adaptive Insights employees. This acquisition is significant for Workday as it integrates Adaptive Insights' robust financial planning and analysis (FP&A) capabilities into Workday's existing suite of enterprise cloud applications. Investors should monitor how this integration impacts Workday's product offerings, competitive positioning in the HR and finance software market, and its future financial performance, particularly revenue growth and profitability, following this substantial investment.
Key Highlights
- 1Workday, Inc. completed the acquisition of Adaptive Insights, Inc. on August 1, 2018.
- 2The total acquisition cost is approximately $1.55 billion.
- 3Adaptive Insights has been merged and is now a wholly-owned subsidiary of Workday.
- 4The acquisition consideration includes cash and the assumption of Adaptive Insights' equity awards.
- 5Workday plans to issue up to $50 million in new restricted stock unit awards to retain key Adaptive Insights employees.
- 6The transaction was structured as a merger with Armadillo Acquisition Sub, Inc., a Workday subsidiary.
- 7Detailed financial statements and pro forma information for the acquired business will be filed in an amendment within 71 days.