Marketo to be bought by private equity firm for $1.79bn

Marketing automation software company Marketo has entered into a definitive agreement to be acquired by Vista Equity Partners for $1.79bn (£1.22bn) in cash.

Shareholders can expect to received $35.25 in cash per share from the transaction, which is set to close in the third quarter of this year. 

Marketo has over 4,600 customers worldwide. It'll keep its headquarters in San Mateo, California, following the acquisiton. 

Vista is a private equity company focused on investments in high growth SaaS platforms, data and tech-enabled companies. Previous investments - according to Crunchbase - includes $35m that went into email marketing specialists Return Path, among 11 others and 20 acquisitions. 

Phil Fernandez, current chairman and CEO of Marketo, said the board of directors "unanimously concluded that the sale of Marketo to Vista Equity Partners was in the best interest of Marketo and its shareholders".

"The acquisition will allow Marketo to continue to focus on customer success and to remain the independent category leader, continuing to set the agenda for product innovation and thought leadership for the entire digital marketing industry," he added. 

According to Marketo's results from the first three months of 2016, the company saw revenue increase by 35%, but was operating at a loss. 

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