Jeff Lawson, co-founder and chief executive officer of Twilio Inc., center, rings the opening bell on the floor of the New York Stock Exchange in New York, Sept.17, 2018.
Michael Nagle | Bloomberg | Getty Images
Cloud communications provider Twilio said Monday it is acquiring Segment, a customer data infrastructure company, for $3.2 billion in Twilio Class A common stock.
Shares of Twilio jumped more than 5% in premarket trading. If the company holds on to its premarket gains, the stock could open at a record high Monday.
“Together, Twilio and Segment have an incredible opportunity to build the customer engagement platform of the future,” said Peter Reinhardt, Segment’s co-founder and CEO. “We created Segment to help businesses set themselves apart in the digital age and deliver rich, connected customer experiences built on high-quality data. By joining forces and applying our customer data platform to Twilio’s engagement cloud, we’ll be able to make the entire customer experience seamless from end-to-end.”
The deal is expected to close in the fourth quarter of this year.
Earlier this month, Twilio said in a filing that it anticipates more third-quarter revenue than the $401 million to $406 million range it provided in August, sending its stock higher. Analysts polled by Refinitiv had expected $407.9 million in revenue for the third quarter.
Twilio stock has been on a tear. It reached a 52-week high on Friday, jumping to $310.64 per share. Shares of the company have gained more than 211% year to date, while the S&P 500 has climbed more than 7.6%.