CleverTap, a retention marketing platform that has generated $76.6 million in funding to date, will wholly acquire Leanplum, a customer engagement platform that has raised $131.2 million and is located in San Francisco for an unknown sum. The Recursive, a South Eastern European startup news site, broke the story.
Like many private company deals, Sunil Thomas, CleverTap co-founder and executive chairman, said his company would not be announcing the price and terms of the acquisition. Internal accrual and CleverTap shares facilitated this cash and stock transaction. The transaction is scheduled to be finalized in the second quarter of 2022.
The changing interaction between consumers and firms
LAUNCHub Ventures, Shasta Ventures, Canaan Partners, and Kleiner Perkins were among the most recent Series D investors in Leanplum.
Due to this purchase, CleverTap will now have development centers and customer-facing professionals throughout North America, Europe, Latin America, India, Southeast Asia, and the Middle East. According to the firm, it currently has a total of 1,200 customers.
Thomas believes that today’s consumers want to be treated like people, which has driven firms to adapt how they interact with them. CleverTap and Leanplum were created with a mobile-first, omnichannel mindset.
Addressing client’s demands with the latest technology
In a statement, Momchil Kyurkchiev, co-founder and chief product officer of Leanplum, stated that when the company launched, the objective was to address clients’ real-time demands at the bleeding edge of technology.
He added that it was successful in that. Still, as the industry grew, it needed to bring in the most innovative analytics, segmentation, and engagement technologies to assist its clients in establishing valuable, long-term connections with their consumers. He cited this as the reason for collaborating with CleverTap. The acquisition is also a possible signal of a market in the process of consolidation.