Adobe Corporation announced the acquisition of startup Figma, a service that provides tools for collaborating on design projects. The cost of the transaction is approximately $20 billion in cash and stock.
Figma was founded in 2012 by Dylan Field. The online graphical editor allows users to work collaboratively in real time. The platform currently has about 4 million users.
According to Adobe, the deal will be paid half in cash and half in stock, and its terms also include 6 million additional limited shares that will be made available to Figma’s CEO and employees over four years. The transaction is expected to close in 2023, “subject to obtaining necessary regulatory approvals and approvals and other closing conditions, including Figma shareholder approval.”
Figma explains that as a result of the deal, it will gain access to Adobe resources and development, which will allow it to develop more dynamically. At the same time, Adobe promises that Figma will continue to exist as a standalone product. Figma’s operations will continue to be led by Dylan Field, the current co-founder and CEO, who will report directly to David Wadhwani, Head of Digital Media at Adobe.
“Adobe’s strength lies in its ability to create new ideas and deliver breakthrough technologies through innovation and acquisitionsShantanu Narayen, Adobe chairman and CEO, said in a statement. “The combination of Adobe and Figma will change the way we think about co-creation“.
“With Adobe’s innovation and know-how, especially in the fields of 3D, video, vector graphics, images and fonts, we will be able to further rethink the design of our online product and create new tools and areas with that customers can create faster and easieradded Dylan Field.
Startup Figma was valued at $10 billion in June 2021, and its deal with Adobe looks like a pretty profitable move for it. At the same time, Adobe, of course, will not lose: the target market for Figma is estimated at $ 16.5 billion by 2025.
Last year, Adobe acquired cloud-based video collaboration service Frame.io in a $1.3 billion deal, the second-biggest in the company’s history.