Subsequent Events

9 Months Ended

Oct. 31, 2020

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

Slack Technologies, Inc.

In December 2020, the Company entered into a definitive agreement to acquire Slack Technologies, Inc. (“Slack”), a leading channel-based messaging platform. Under the terms of the agreement, Slack shareholders will receive $26.79 in cash

and 0.0776 shares of Salesforce common stock for each outstanding Slack share of common stock. The transaction represents an enterprise value of approximately $27.7 billion based on the closing price of the Company’s common stock on November 30, 2020. The agreement also provides for the Company’s assumption of outstanding equity awards held by Slack employees. The Company expects to fund the cash portion of the consideration with a combination of new debt and cash on the Company’s balance sheet. In connection with its entry into the definitive agreement for the acquisition, the Company has obtained a commitment for a $10 billion 364-day senior unsecured bridge loan facility, subject to customary conditions.

The acquisition is anticipated to close in the second quarter of fiscal year 2022, subject to customary closing conditions, including receipt of Slack stockholder approval and the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and receipt of other approvals, consents or clearances under specified antitrust and foreign investment laws.

Acumen Solutions, Inc.

In November 2020, the Company entered into an agreement to acquire Acumen Solutions, Inc. (“Acumen”) a professional services firm that provides innovative and critical solutions to clients using the Company’s service offerings and other advanced cloud technologies. Under the terms of the agreement, the Company will acquire Acumen for approximately $570 million in cash, subject to customary purchase price adjustments. The acquisition is expected to close in the first half of fiscal 2022, subject to customary closing conditions.