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Summary
- IBM plans to buy Salesforce's European consulting partner Waeg.
- Performance Food to acquire Core-Mark in a US$2.5 billion deal.
American technology giant IBM (NYSE:IBM) said on May 18 that it will buy Salesforce's European consulting partner Waeg. IBM has been providing cloud services to the California-based customer relationship management platform Salesforce (NYSE:CRM) for a long time.
With this acquisition, IBM looks to extend its portfolio of Salesforce services while strengthening its hybrid cloud and artificial intelligence strategy.
Waeg's consulting service includes digital strategy advisory, customer experience design, digital strategy implementation, business-to-business commerce, and marketing automation.
Brussels-based Waeg, which has offices in Europe, will be part of IBM's Salesforce business within its Global Business Services.
Both sides are expected to close the deal in the current quarter. Although the details of the financial terms have been kept under wraps, IBM noted that the transaction complements its purchase of Salesforce's U.S. consultancy 7Summits in January.
IBM's recent purchases include Truqua, Expertus, Nordcloud, and Taos. The IBM stock was trading at US$143.53, down 1.07 percent from the previous close, at 10.23 am ET, on Tuesday, May 18.
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Source: Pixabay
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Performance Food to Buy Core-Mark
Foodservice distribution company Performance Food Group Company (NYSE:PFGC) on Tuesday agreed to buy Core-Mark Holding Company, Inc. (NASDAQ:CORE) to expand its convenience business.
Texas-based Core-Mark distributes fresh food products to convenience stores in North America. The company operates 32 distribution centers and reported US$17 billion in net sales last year.
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The stock and cash transaction values Core-Mark at about US$2.5 billion, including its net debt. Its stockholders will get US$23.875 per share and 0.44 shares of Performance Food for each Core-Mark share in the transaction.
Core-Mark's shareholders will own around 13 percent stake in the combined company after the transaction that is expected to be completed in the first half of 2022.
Also, one Core-Mark’s director to be appointed to Performance Food's board.
Scott McPherson will continue as the president and CEO of Core-Mark after the acquisition.
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Meanwhile, the respective boards of the two companies have approved the acquisition, which is now subject to the approval of Core-Mark’s shareholders and antitrust clearance.
Performance Food said the acquisition would result in total pro-forma last 12 months net sales of approximately US$44 billion.
Performance Food stock fell 6.36 percent to US$48.45 in the morning trade, while Core-Mark stock rose 4.40 percent to US$44.04.
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