Marc Benioff, Salesforce CEO & cofounder
SalesforceSalesforce has held talks to buy the workplace messaging app Slack, according to a report from the Wall Street Journal on Wednesday morning. If it goes through, the deal would be Salesforce's largest ever, capping off a years-long acquisition spree that's included companies like MuleSoft and Tableau.
Salesforce is in advanced talks with Slack, and that a deal could be announced within days, potentially by the time Salesforce reports its quarterly earnings on Tuesday, according to the report. However, there's no guarantee it will lead to an acquisition.
However, if a deal is reached, the report indicates that Salesforce would likely pay more than the some $17 billion at which Slack was valued at market close on Tuesday — surpassing its acquisition of Tableau for over $15 billion in 2019. Shares in Slack are up over 30% on the news at the time of publication, while Salesforce stock is off some 5%.
A deal between Salesforce and Slack would make sense for both companies and put increased competitive pressure on Microsoft, several analysts said. That's important, as both Salesforce and the smaller Slack are significant Microsoft rivals in their own right.
Analysts recently told Business Insider that the growth of Microsoft Dynamics 365 threatens the "iron grip" that Salesforce holds on the customer relationship management (CRM) space, while Slack has shown signs that the rise of Microsoft Teams has put a strain on its growth prospects.
By teaming up, analysts now say, Salesforce would be better-positioned to compete directly with Microsoft Teams and the larger Office 365 suite of which it's a part, while Slack gets the resources it needs to build momentum in the marketplace.
"This deal would be a major shot across the bow at Microsoft with the company's Teams offering a direct messaging competitor against Slack that has been a clear hurdle to growth and now would be a two horse race between Microsoft and Salesforce," Wedbush analyst Dan Ives wrote in a note to clients.
Acquiring Slack would help Salesforce improve its collaboration capabilities
As Microsoft becomes a stronger competitor to Salesforce, one of its strengths is that its various tools —like its sales and service software Dynamics 365, its simple app development suite Power Platform, and productivity applications like Word and Excel — are all integrated. Microsoft is increasingly positioning Teams as the "hub for work" where those apps connect.
Teams is included for free with business versions of the Microsoft Office 365 productivity suite. Its usage has grown tremendously this year, hitting 115 million daily active users in October, up from the 75 million it announced in late April and 44 million in mid-March.
Salesforce, for its part, has made some moves to take on the collaboration and productivity space over the years, including the business social network Chatter and the acquisition of web-based word processor Quip. Ultimately, though, Microsoft (and to a lesser extent Google) still dominate the market: It's "a huge business opportunity that Salesforce has sort of failed to really unlock," said Futurum Research analyst Dan Newman.
Adding Slack to the portfolio would allow Salesforce to combine its own productivity products in much the same way that Microsoft has with Teams, analysts said. The moment could be right to strike, too, with demand for these kinds of tools spiking in the pandemic-driven remote work boom.
With remote work "real-time messaging just becomes more important as part of that broader platform," D.A. Davidson analyst Rishi Jaluria told Business Insider.
"Slack would give Salesforce a big step toward being on every desktop," said Valoir analyst Rebecca Wettemann. "Although it gained collaboration capabilities with Quip, given the growth and adoption of Slack it would further its collaboration strategy as well as its ambition to penetrate the enterprise beyond traditional CRM users."
Additionally, it's in line with Salesforce's strategy of relying on acquisitions and inorganic growth to drive its overall growth. Salesforce "lacking infrastructure, has to find new ways to grow, and this is a potential new way to grow," Newman said.
An acquisition would be good for Slack's future growth prospects
For Slack's part, many analysts see an acquisition as a positive sign for its future growth and prospects. As other collaboration tools like Zoom and DocuSign have seen skyrocketing demand during the pandemic, Slack's growth rate has been on par with pre-pandemic levels. That's put pressure on Slack's stock, and left analysts skeptical about the company's future growth.
"Microsoft Teams has been capitalizing on this opportunity better," Jaluria said. He attributes the disparity both to how Microsoft bundles Teams in with the Office 365 suite, but also because of Slack's lack of focus on videoconferencing and file-sharing beyond its core chat capabilities.
The momentum around Teams has helped it overcome what analysts say are Slack's key advantages: Better integration with third-party tools, and relatedly more love from developers who build extensions and add-ons for the platform. With the growth of Teams has come a vibrant developer ecosystem around the app, Jaluria said in a note to clients, which "chips away at one advantage we thought Slack had: developer adoption."
Slack has escalated the rivalry, going so far as to file an antitrust complaint with the European Commission, alleging that Microsoft's practice of bundling Teams with Office 365 is anticompetitive. Microsoft responded by saying Slack suffered from its absence of video conferencing during the pandemic.
By joining Salesforce, however, analysts expect that it would take a lot of pressure off of Slack. The smaller company would get access to Salesforce's massive customer pool, including its roster of big-ticket enterprise customers, driving the kind of growth that it needs to build its business further.
"Slack would instantly be propelled into C-level executive discussions across industries," RBC analyst Alex Zukin wrote in a note to clients.
Got a tip? Contact this reporter via email at email@example.com or Signal at 925-364-4258. (PR pitches by email only, please.) You can also contact Business Insider securely via SecureDrop.
In the news release "Dizun Announces Closing of $750,000 Private Placement and Letter of Intent With Maitri Health for Reverse Takeover", issued 24-Jul-2020 by Dizun International Enterprises Inc. over CNW, we are advised by the company that in the previous version of the news release, under the terms of the reverse takeover ("RTO"), Dizun International Enterprises Inc.("Dizun") announced that as part of the RTO, the Maitri Health Corp. ("Maitri") Shareholders will receive an aggregate of 25,000,000 common shares of Dizun. The correct amount is 250,000,000 common shares of Dizun. The complete release follows:
Dizun Announces Closing of $750,000 Private Placement and Letter of Intent With Maitri Health for Reverse Takeover
VANCOUVER, BC, July 24, 2020 /CNW/ - Dizun International Enterprises Inc. (CSE: KDZ) ("Dizun" or the "Company") is pleased to announce the closing of a $750,000 non-brokered private placement (the "Private Placement") of units of the Company (each a "Unit") and that it has entered into a non-binding letter of intent (the "LOI") with Maitri Health Corp. ("Maitri") to complete a business combination by way of a reverse takeover (the "RTO") of Dizun by the shareholders of Maitri. Upon completion of the RTO, the combined entity (the "Resulting Issuer") will continue to carry on the business of Maitri. The closing of the RTO is subject to the receipt of all necessary approvals, including without limitation regulatory approval for the listing of the common shares of the Resulting Issuer (the "Resulting Issuer Shares") on the Canadian Securities Exchange (the "Exchange"). The LOI was negotiated at arm's length and is effective July 23, 2020.
Pursuant to the Private Placement, Dizun issued 30,000,000 Units at a price of $0.025 per Unit for aggregate gross proceeds of $750,000.
Each Unit consists of one common share in the capital of Dizun (a "Dizun Share") and one Dizun Share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one additional Dizun Share at an exercise price of $0.025 per share for a period of two years from the date of issuance.
The Private Placement is subject to the approval of the Exchange and the securities will be subject to a four-month hold period under securities laws.
In connection with the Private Placement, Dizun paid a cash finder's fee of $1,850 and issued 70,000 Finder's Warrants. The Finder's Warrants have the same terms as the Warrants and will be subject to a four-month hold period under securities laws.
Description of Maitri
Maitri is a coordinated global platform that delivers reliable, high quality health care supplies with transparent supply chains. The Covid-19 pandemic has exposed a need for a new way to manufacture and manage healthcare and PPE materials. Businesses need new protocols to keep workers safe and healthcare needs to equip first responders. Created by industry leaders, Maitri's mission is to bring a stable supply of materials to enable businesses and healthcare to function efficiently. Maitri is securing strategic on-shore manufacturing and licensing agreements. Clients of Maitri have a system that ensures medical supplies are available, reliable, consistent and sustainable. With advanced protocols for production, logistics, advanced technology and strict quality control, Maitri will ensure our global community is able to navigate every biomedical emergency. For further information, refer to Maitri's website at www.maitrihealth.ca.
Terms of the RTO
The RTO is expected to be completed by way of a share exchange between the shareholders of Maitri (the "Maitri Shareholders") and Dizun, following which the Resulting Issuer will continue the business of Maitri. In exchange for 100% of the issued and outstanding shares of Maitri (the "Maitri Shares"), the Maitri Shareholders will receive an aggregate of 250,000,000 Dizun Shares.
The Parties anticipate entering into a definitive amalgamation agreement (the "Definitive Agreement") by the end of August 2020, following the completion of satisfactory due diligence. The RTO constitutes an Arm's Length Transaction under the policies of the Exchange.
As of the date hereof, Dizun has 41,605,880 Dizun Shares outstanding, as well as an aggregate of 30,070,000 warrants.
As of the date hereof, Maitri has 25,000,000 Maitri Shares outstanding and no convertible securities.
Management and Directors of the Resulting Issuer
When the RTO is completed, it is anticipated that the board of directors of the Resulting Issuer shall be reconstituted to consist of such directors as Maitri shall determine, and each of the officers of Dizun shall resign and be replaced with officers appointed by the new board of directors.
It is anticipated that the directors of the Resulting Issuer will be Sav DiPasquale, Tony Clement, Dr. Solomon (Sam) Pillersdorf and Gavin Cooper, and the officers will be Andrew Morton and Marlis Yassin.
Sav DiPasquale: Board ChairMr. DiPasquale is a senior executive with over 30 years of experience in the pharmaceutical, biotechnology and transportation industries, and he is currently President of the Canadian Pharmaceutical Distribution Network ("CPDN"). At CPDN, Mr. DiPasquale is responsible for overall operations, including the development and implementation of strategies to grow the organization's membership and extend its unique service offering. Previously Mr. DiPasquale spent almost seventeen years at Glaxo Smith Kline in various senior positions, including VP Business Development and CIO.
Tony Clement: DirectorMr. Clement is a former Canadian federal politician and former Member of Parliament. Mr. Clement served as an Ontario cabinet minister, including as Federal Minister of Health and Long-Term Care as well as President of the Treasury.
Dr. Solomon (Sam) Pillersdorf: DirectorDr. Pillersdorf has been involved in the mining sector for over 10 years, including funding start-up mining companies and sourcing and funding resource claims. Dr. Pillersdorf was Head of Rheumatology Outpatients and Head of Rheumatology training at the McMaster University Medical Center.
Gavin Cooper: DirectorMr. Cooper is a Chartered Accountant with extensive experience in all aspects of corporate and financial management. For the past 35 years, Mr. Cooper has been providing strategic and financial advice and corporate administration services, and has held senior positions with a number of public and private companies with local and international operations
Andrew Morton: CEO and DirectorMr. Morton is a seasoned global technology executive with a track record of successfully building and running innovative companies. Mr. Morton was SVP Global Sales for Zodiac Interactive, a private equity held software company focused on advanced software for Tier 1 Cable and Telecom providers. He headed up Broadband TV for Entone where he launched successful operations on multiple continents. Entone was acquired by Amino Communications (LON: AMO) where he served for several years post transaction on the senior executive team. Earlier in his career, Mr. Morton co-launched global operations for Comtrend Corporation, a leader in telecom hardware and software.
Marlis Yassin: CFO and Corporate SecretaryMs. Yassin is a CPA, CA with over 15 years experience working with publicly listed companies. She has held finance management positions at various public companies, including an international industrial products company and mid-tier mining companies. Ms. Yassin gained extensive experience through her client engagements at Deloitte providing reporting, advisory and assurance services to publicly traded companies, primarily in the natural resources sector.
Conditions to the RTO
The RTO is subject to the satisfaction of customary closing conditions, including as follows:
each of Dizun and Maitri obtaining any requisite director and shareholder approvals;
the completion of due diligence investigations to the satisfaction of each of Dizun and Maitri;
Dizun and Maitri entering into the Definitive Agreement; and
all requisite regulatory and stock exchange approvals relating to the RTO and Exchange approval for the listing of the Resulting Issuer Shares having been obtained.
Additional Information Regarding the RTO
The RTO will constitute a change of business under the rules of the Exchange. The final legal structure for the RTO will be determined after the parties have considered all applicable tax, securities law and accounting efficiencies.
Dizun and Maitri expect to complete the RTO in the fall of 2020.
On behalf of the Board,
Dizun International Enterprises Inc.
Hani Zabaneh, Director and CEO
Completion of the RTO is subject to a number of conditions, including but not limited to, Exchange acceptance. The RTO cannot close until the required shareholder approvals are obtained. There can be no assurance that the RTO will be completed as proposed or at all. Investors are cautioned that, except as disclosed in the management information circular or listing statement to be prepared in connection with the transaction, any information released or received with respect to the transaction may not be accurate or complete and should not be relied upon. Trading in the securities of Dizun should be considered highly speculative. The Canadian Securities Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this news release.
Neither the Canadian Securities Exchange nor its regulation services provider has reviewed or accepts responsibility for the adequacy or accuracy of this news release.
All information contained in this press release with respect to Dizun and Maitri was supplied by the parties respectively for inclusion herein, and each party and its directors and officers have relied entirely on the other party for any information concerning the other party. Dizun has not conducted due diligence on the information provided by Maitri and does not assume any responsibility for the accuracy or completeness of such information.
This press release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities described herein in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws, and may not be offered or sold within the United States or to U.S. persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
This press release contains certain forward-looking statements that reflect the current views and/or expectations of management of Dizun and Maitri, respectively, with respect to performance, business and future events, including but not limited to express or implied statements and assumptions regarding the intention of Dizun and Maitri to negotiate for or complete the RTO, the change of directors, as proposed or at all. Forward-looking statements are based on the current expectations, beliefs, assumptions, estimates and forecasts about the business and the industry and markets in which Dizun and Maitri operate. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and assumptions, which are difficult to predict. In particular, there is no guarantee that the parties will successfully negotiate and enter into the Definitive Agreement or complete the RTO contemplated herein; that the due diligence of Dizun and/or Maitri will be satisfactory; or that Dizun and Maitri will obtain any required shareholder or regulatory approvals, including the listing of the Resulting Issuer Shares on the Exchange. Accordingly, readers should not place undue reliance on forward-looking statements and information herein, which are qualified in their entirety by this cautionary statement. Neither Dizun nor Maitri undertakes any obligation to release publicly any revisions for updating any voluntary forward-looking statements, except as required by applicable securities law.
SOURCE Dizun International Enterprises Inc.
Dallas, TX, Nov. 22, 2020 (GLOBE NEWSWIRE) -- Dickey’s Barbecue Pit is giving guests one less thing to stress about this Thanksgiving with their versatile lineup of holiday offerings available for free, contactless delivery this week and throughout the winter season.
With Dickey’s locations across the nation, families can celebrate safely apart by sending one of Dickey’s Complete Feast or Dinner Feasts to be delivered directly to their loved one’s doorstep.
Guests looking for a convenient, affordable and flexible holiday solution can visit dickeys.com or the Dickey’s app to find Dickey’s full line-up of holiday offerings featuring options such as:
The Complete Feast – Choose from smoked turkey, prime rib, Cajun-fried turkey or spiral ham along with cornbread dressing, gravy, baked potato casserole, green beans with bacon and a dozen buttery rolls.
The Dinner Feast – Choose from smoked turkey, prime rib, Cajun-fried turkey or spiral ham along with cornbread dressing, gravy and a dozen buttery rolls.
À La Carte Menu – Order any of Dickey’s slow smoked holiday meats of savory sides individually.
Ahead of the Thursday holiday, the world’s largest barbecue chain is also seeing a trend in smaller gatherings for Thanksgiving this year as they are reporting smaller than average check sizes, but a 26% increase in holiday check counts overall.
Starting Nov. 23, the world’s largest barbecue brand is encouraging fans to get into the holiday spirit and share their spread for a chance to win a free holiday Dinner Feast from Dickey’s. Fans can enter to win by sharing a picture of their holiday meal on Instagram and using the hashtags #ShowUsYourTable and #DickeysBBQ on their post. Posts featuring one of Dickey’s iconic Big Yellow Cups will receive a bonus entry for the contest and complete information on how to win is available on dickeys.com/promos/current-deals.
“The holidays are a time for rejoicing even if we’re not all together and Dickey’s is here to help guests safely celebrate good food whether they’re gathering around the dinner table, the backyard or virtually 500 miles apart,” said Laura Rea Dickey, CEO of Dickey’s Barbecue Restaurants, Inc.
Available for delivery or pick-up from one of the 500 or more participating Dickey’s locations around the U.S., Dickey’s holiday offerings also include ready-to-eat selections such as the new Holiday Big Yellow Box.
To send a loved one a holiday feast from Dickey’s, visit dickeys.com/quote/order-menu.
Dickey’s can also tailer a catering menu for any event or occasion. Get a free quote at Dickeys.com or call a Catering Expert at 866-BARBECUE for details on holiday individually packaged plates for large events or the Holiday Big Yellow Box lunches for smaller events. To learn more, follow Dickey’s Franchise on Facebook, Instagram and Twitter. Download the Dickey’s Barbecue Pit app from the Apple App Store or Google Play.
About Dickey’s Barbecue Restaurants, Inc.
Dickey's Barbecue Restaurants, Inc., the world’s largest barbecue concept, was founded in 1941 by Travis Dickey. For the past 79 years, Dickey’s Barbecue Pit has served millions of guests Legit. Texas. Barbecue.™ At Dickey’s, all our barbecued meats are smoked onsite in a hickory wood burning pit. Dickey’s proudly believes there’s no shortcut to true barbecue and it’s why they never say bbq. The Dallas-based, family-run barbecue franchise offers several slow-smoked meats and wholesome sides with 'No B.S. (Bad Stuff)' included. The fast-casual concept has expanded worldwide with two international locations in the UAE and operates over 500 locations in 44 states. In 2016, Dickey’s won first place on Fast Casual’s “Top 100 Movers and Shakers” list and was named a Top 500 Franchise by Entrepreneur in 2018. Dickey's Barbecue Pit has also been recognized by Fox News, Franchise Times, The Wall Street Journal, QSR Magazine, Forbes Magazine and Nation’s Restaurant News. For more information, visit www.dickeys.com.
# # #