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Salesforce.com to buy privately held Radian6 for $326 million

Posted on by admin on March 30th, 2011 | 1 Comment »

Cloud-based software maker Salesforce.com said it will buy privately held Radian6 for $326 million in cash and stock to add to its social-media monitoring products.

Radian6, which counts Dell , Kodak , PepsiCo , and UPS among its customers, makes products that monitor conversations on social media sites, allowing companies to gain real-time insights on customer trends.

Salesforce.com said the combination will enhance its cloud offerings and help it integrate conversations on social media sites into its corporate social network – Chatter.

Radian6, based in Fredericton, New Brunswick, Canada, was founded in 2006 and had over 120 employees as of June last, according to the firm’s website.

Salesforce.com, with a market value of $17 billion, expects the deal to add about $45-$50 million in revenue for the full year but sees a fall in adjusted earnings of 11 cents per share.

The company now expects full-year earnings of about $1.24-$1.27 per share, on revenue of $2.08-$2.1 billion.

Salesforce.com, the world’s biggest provider of software that is delivered via the Web, last December bought Heroku, another cloud-platform company, for $212 million.

Shares of the company closed at $127.4 on Tuesday on the New York Stock Exchange.