Multinational computer software company Adobe has entered into a definitive merger agreement to acquire Figma for about $20 billion in cash and stock.
In a statement, Adobe said a new era of creative collaboration would begin with the union of Adobe and Figma.
Adobe added its mission is to transform the world through digital experiences, while Figma aims to facilitate visual team collaboration and make design accessible to everyone. Adobe said the two companies would reimagine the future of creativity and productivity, boost product design, speed up creativity on the web, and invigorate communities worldwide of creators, designers, and developers. The two companies will be able to create significant value for customers, shareholders, and the industry, as well as a sizable, quickly expanding market opportunity, Adobe stated.
Adobe Digital Media business President David Wadhwani said they look forward to partnering with Figma’s incredible team and vibrant community to accelerate their joint mission to reimagine the future of creativity and productivity.
“With Adobe’s amazing innovation and expertise, especially in 3D, video, vector, imaging and fonts, we can further reimagine end-to-end product design in the browser, while building new tools and spaces to empower customers to design products faster and more easily,” said Dylan Field, co-founder and CEO of Figma.
Adobe chairman and CEO Shantanu Narayen stated Adobe’s success has been rooted in its capacity to establish new markets and provide cutting-edge technologies through organic innovations and inorganic acquisitions.
“The combination of Adobe and Figma is transformational and will accelerate our vision for collaborative creativity,” Narayen added.
The CEO and staff of Figma will also be given an additional 6 million restricted stock units, which will vest over four years after closing in accordance with the definitive agreement. Adobe anticipates financing the cash consideration with cash on hand and, if necessary, a term loan.
Subject to the receipt of all necessary regulatory clearances and approvals, as well as the fulfilment of other closing conditions, including the approval of Figma’s stockholders, the transaction is anticipated to close in 2023.