NEWS1 November 2021

Momentive sold to Zendesk

M&A News North America

US – Customer experience company Zendesk is to acquire Momentive, the owner of survey software business SurveyMonkey.

Zander Lurie

Zendesk and Momentive have entered into a definitive agreement that will see Momentive stockholders receive 0.225 shares of Zendesk stock for each share of Momentive stock, representing an implied value of approximately $28 per outstanding share of stock.

​​Following the transaction, Zendesk stockholders will own approximately 78% of the combined company and Momentive stockholders will own approximately 22% of the combined company.

The transaction is expected to close in the first half of 2022 and is subject to approval by Zendesk stockholders and Momentive stockholders, regulatory approvals and other closing conditions.

Momentive chief executive Zander Lurie (pictured) will continue to lead Momentive’s management team when the acquisition has completed.

Founded in 1999, SurveyMonkey changed its name to Momentive earlier this year, with the brand becoming the name of the parent company for SurveyMonkey’s enterprise business. 

The Momentive portfolio includes wholly owned subsidiary, SurveyMonkey, customer experience tool GetFeedback and brand and market insight tools, formerly SurveyMonkey Market Research Solutions.

Zendesk expects the companies’ respective customer bases and capabilities to provide opportunities for joint product adoption and increasing Momentive’s enterprise traction. Zendesk will reinvest savings from scale efficiencies to support the combination of the two companies. 

The companies said integrating would create a business that can offer a combination of behavioural data with insights on how customers think and feel.

Mikkel Svane, chief executive and founder, Zendesk, said: “The SurveyMonkey brand is iconic and we’ve admired its business from afar since the inception of Zendesk.

“We’re very excited to have them join the Zendesk mission along with Momentive’s market research and insights products and together create a powerful new customer intelligence company.”

Lurie added: “We look forward to combining with Zendesk to advance our mission and accelerate our long-term growth strategy. Zendesk and Momentive share a culture centred around our people, our communities and the customers we serve.”