Airtable, a prominent software company, is being acquired by Bending Spoons. The all-cash transaction values Airtable at an enterprise value of $1.285 billion. Including Airtable's net cash, the equity value of the deal reaches approximately $2.25 billion. The acquisition is expected to finalize by the end of the year, pending regulatory approval.
This significant acquisition highlights a notable shift in market valuations for once high-flying tech companies. Airtable, known for its flexible database-spreadsheet hybrid, had previously achieved a valuation of $11.7 billion. The current sale price represents a substantial decrease from that peak.
Bending Spoons is acquiring a robust business with strong financial fundamentals. Airtable is projected to have approximately $480 million in annual recurring revenue (ARR) by June 2026. This revenue stream is growing at over 20% year-over-year. The company also boasts impressive gross margins, hovering around 90%. Furthermore, Airtable operates as a cash-flow positive entity.
The sale at $2.25 billion equity value, or 2.7 times its forward ARR, marks a considerable adjustment. Airtable had previously raised $1.4 billion in funding from investors. Its peak valuation of $11.7 billion underscored a different market environment. This current deal reflects a more conservative approach to tech company valuations.
The acquisition by Bending Spoons signals a strategic move for both companies. For Airtable, it provides a new ownership structure and potential for continued growth. For Bending Spoons, it adds a valuable and profitable software platform to its portfolio. The tech industry continues to see consolidation and re-evaluation of assets.
What is the enterprise value of the acquisition? The enterprise value of the deal is $1.285 billion. This figure represents the total value of Airtable's operating business.
What is Airtable's projected revenue? This revenue is growing at over 20% annually.
When is the acquisition expected to close? The acquisition is expected to close by the end of the year. This is subject to receiving all necessary regulatory approvals.