SAP to acquire AI startup WalkMe for $1.5bn
Will help customers get 'the maximum value out of their IT investments' says CEO Klein
SAP is acquiring adoption platform specialist WalkMe in a move to boost its Signavio, LeanIX and generative AI offerings.
"By acquiring WalkMe, we are doubling down on the support we provide our end users, helping them to quickly adopt new solutions and features to get the maximum value out of their IT investments," said SAP CEO Christian Klein in statement. "Applications, processes, data and people are the four key elements of a successful business transformation."
Tel Aviv-based WalkMe enables customers to navigate technology changes by providing users with advanced guidance and automation features that enable them to execute workflows seamlessly across any number of applications.
WalkMe's digital adoption platform works on top of an organisation's application landscape, detects where people encounter friction and provides the tailored support and automation they need to complete the job in the flow of work across any application.
WalkMe will soon launch WalkMe Copilot, which will use its contextual awareness and AI to suggest the best next step for any workflow, anywhere.
SAP's natural language generative AI copilot Joule seeks to revolutionise how users interact with SAP business systems in a secure and compliant way. Joule is currently being embedded into SAP's entire enterprise portfolio.
Integrating WalkMe's adoption capabilities with SAP's copilot Joule will "boost AI assistant and productivity gains for all SAP customers," said the two companies.
In addition, integrating distinctive e-learning features in the SAP Enable Now offering with WalkMe will form the centre of SAP's people-centric transformation approach going forward.
WalkMe will also complement SAP's Business Transformation Management portfolio around SAP Signavio and SAP LeanIX offerings to help customers' IT transformation journeys.
The acquisition news came during SAP's flagship conference Sapphire, which is taking place in Orlando, Florida this week.
SAP has agreed to acquire WalkMe for $14 per share in an all-cash transaction, representing an equity value of around $1.5 billion.
The offer price represents a 45% premium to WalkMe's closing share price on June 4, 2024.
The deal is expected is expected to close during the third quarter of 2024.
"This acquisition marks a significant milestone in our journey, providing us with the resources and customer base necessary to enhance our product offerings and expand our market reach," said WalkMe CEO Dan Adika in a statement. "By leveraging SAP's extensive ecosystem, we are poised to unlock substantial growth opportunities and deliver even greater value to our customers."
This article first appeared on CRN.