SAP to acquire WalkMe in all-cash deal valued at about $1.5 billion

By Ciara Linnane

German software company is seeking to boost its AI offerings

An earlier version of this article incorrectly described WalkMe as parent of Concur. Concur is owned by SAP. The article has been corrected.

German enterprise software company SAP SE said Wednesday it has agreed to acquire WalkMe Ltd. in an all-cash deal valued at about $1.5 billion.

Under the terms of the deal, shareholders of WalkMe (WKME) will receive $14 per share, for a 45% premium over the stocks' closing price on Tuesday.

The deal is expected to help bolster SAP's business AI offerings, Walldorf-based SAP said.

"Applications, processes, data, and people are the four key elements of a successful business transformation," said Christian Klein, chief executive of SAP (SAP) (XE:SAP), in prepared remarks.

"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."

The deal is expected to close in the third quarter but is not expected to have a material impact on SAP's adjusted per-share earnings for fiscal 2024.

WalkMe's stock soared 41.6% premarket on the news.

-Ciara Linnane

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06-06-24 1211ET

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