Salesforce to Acquire Informatica in $8 Billion Deal
May 27, 2025
In collaboration with Standard Management
Salesforce, a leading provider of AI-powered customer relationship management (CRM) solutions, has announced a definitive agreement to acquire Informatica, a prominent enterprise cloud data management company. The transaction values Informatica at approximately $8 billion in equity, net of Salesforce's existing investment in the company.Transaction Overview
Under the terms of the agreement, Informatica shareholders will receive $25 in cash per share. The acquisition has been approved by the boards of both companies and is expected to close early in Salesforce's fiscal year 2027, pending regulatory approvals and customary closing conditions.
Stockholders representing about 63% of Informatica's voting power have already approved the transaction. Funding will come from a mix of cash on hand and new debt.
Strategic Rationale
The acquisition is designed to enhance Salesforce's data infrastructure, which is increasingly important for deploying advanced and responsible AI solutions. By integrating Informatica's capabilities with Salesforce's platform, the combined entity aims to provide a unified architecture for enterprise-scale AI.
Informatica's Key Capabilities
| Capability | Description |
|---|---|
| Data Cataloging | Comprehensive data discovery and inventory management |
| Data Integration | Seamless connection and synchronization of data sources |
| Data Governance | Policies and controls for data management |
| Data Quality | Ensuring accuracy and reliability of data |
| Data Privacy | Protection and compliance for sensitive data |
| Metadata Management | Context and structure information for data assets |
| Master Data Management (MDM) | Single source of truth for critical business data |
Key Focus Areas
- Data Transparency: Informatica's tools will improve auditability and regulatory compliance by providing visibility into data origins, changes, and usage.
- Data Understanding: Combining Informatica's metadata with Salesforce's data model will help AI agents interpret and connect enterprise data with greater context.
- Data Governance: Enhanced MDM and data quality controls will help ensure that data used for AI is accurate, standardized, and secure.
Integration and Product Impact
The acquisition will allow Salesforce to strengthen several of its core offerings through enhanced data management capabilities:
Salesforce Products to Be Enhanced
- Data Cloud: Informatica's technology will bolster Salesforce's Customer Data Platform, making organizational data more unified, trusted, and actionable.
- Agentforce: The combination will support the development of autonomous AI agents capable of interpreting and acting on complex data.
- Customer 360: CRM applications will benefit from more reliable and personalized customer experiences, driven by trusted data.
- MuleSoft: Informatica's governance and integration features will ensure that data flowing through MuleSoft APIs is enriched and standardized.
- Tableau: Users will gain access to richer, context-driven insights from a more accessible data landscape.
Salesforce plans to integrate Informatica's technology stack rapidly, embedding its data management capabilities natively across the Salesforce ecosystem.
Financial Projections and Timeline
| Metric | Impact | Timeline |
|---|---|---|
| Transaction Value | $8 billion in equity | - |
| Expected Closing | Early FY 2027 | Pending approvals |
| Operating Margin | Accretive (non-GAAP) | Second year post-closing |
| Earnings Per Share | Accretive | Second year post-closing |
| Free Cash Flow | Accretive | Second year post-closing |
| Capital Return Program | No disruption expected | Ongoing |
Forward-Looking Considerations
While the companies have outlined the anticipated benefits of the acquisition, the completion and integration of the deal remain subject to various risks and uncertainties. Key considerations include:
- Regulatory approvals and customary closing conditions
- Potential impacts on business operations during the transition period
- Integration challenges and timeline execution
- Market conditions and competitive landscape changes
Both companies have indicated that they will continue to update stakeholders as the process progresses.
Industry Context
This acquisition represents a significant consolidation in the enterprise data management space and reflects the growing importance of data infrastructure for AI deployment. The deal positions Salesforce to compete more effectively in the enterprise AI market by addressing one of the key challenges organizations face: managing and governing data at scale for AI applications.
This article is intended to provide factual information about the announced acquisition and does not include projections or opinions regarding future business outcomes.
References
- https://www.informatica.com/about-us/news/news-releases/2025/05/20250527-salesforce-signs-definitive-agreement-to-acquire-informatica.html Informatica: Salesforce Signs Definitive Agreement to Acquire Informatica (May 27, 2025)