Twilio to acquire ZipWhip for $850 million

Twilio Inc.
TWLO,
-0.73%
said late Monday it plans to acquire business-texting platform ZipWhip for about $850 million in cash and stock. The company said ZipWhip will become a part of its Messaging Business Unit. The company expects the deal to close by the end of 2021. Twilio reiterated its second-quarter revenue guidance of $591 million to $601 million, noting that it would not be affected by the deal, while analysts surveyed by FactSet expect $597.1 million. Twilio shares were flat after hours, following a 0.7% decline to close at $297.20, for a 12-month gain of 57%, compared with the Nasdaq Composite Index’s
COMP,
-0.38%
48% gain.