SAN FRANCISCO--(BUSINESS WIRE)--
Atlassian Corporation Plc (NASDAQ: TEAM), a leading provider of team
collaboration and productivity software, today announced it has entered
into a definitive agreement to acquire AgileCraft, a leading provider of
enterprise agile planning software. AgileCraft helps enterprise
organizations build and manage a ‘master plan’ of their most strategic
projects and workstreams. Business leaders use AgileCraft to map
strategic projects to the distributed work required to deliver them,
providing better visibility into bottlenecks, risks and dependencies,
and more accuracy around capacity planning and measuring return
on investment.
AgileCraft helps business leaders answer the most important questions
around their most critical projects:
-
what’s the true cost and expected value of the important work being
driven by teams inside my company?
-
what does the overall roadmap look like for company-wide strategic
imperatives?
-
what are the major dependencies and risks associated with what we’re
trying to deliver?
-
how can we move faster, or do more with less?
-
how does work at the team level align with the company’s top
objectives?
In every industry, there is increased pressure to respond to customers
faster, increase the speed of innovation, and find new approaches to
working. This pressure is amplified in large enterprises as they race to
leverage technology to enhance customer experiences and adapt faster to
new competitors and market conditions.
Atlassian tools are already at the forefront of enabling agile
transformation for more than two-thirds of the Fortune 500. In
particular, Jira serves as the collaborative backbone for how modern
engineering and IT teams plan and execute work. AgileCraft helps connect
the work of these teams to the business objectives and strategic
outcomes of the entire enterprise. This alignment is a critical linchpin
in helping large organizations move faster and scale the benefits of
agile teamwork more widely across their companies. Many companies,
including Anthem, AT&T, Dimension Data, Fidelity, and Nielsen, already
trust Atlassian and AgileCraft to scale strategic direction and align
top to bottom.
"Many leaders are still making mission-critical decisions using their
instincts and best guesses instead of data," said Scott Farquhar,
Atlassian’s co-founder and co-CEO. "As Atlassian tools spread through
organizations, technology leaders need better visibility into work
performed by their teams. With AgileCraft joining Atlassian, we believe
we’re the best company to help executives align the work across their
organization - providing an all-encompassing view that connects
strategy, work, and outcomes.”
"Organizations lack the ability to easily gather and distill information
across siloed teams – making it extremely difficult to assess progress
and measure success," said Steve Elliott, AgileCraft founder and CEO.
"We're excited to be joining the Atlassian family to enable the new
digital enterprise, which is able to connect teams and align strategy to
outcomes."
AgileCraft was founded in 2013 and is based in Georgetown, Texas.
Details Regarding the Transaction
The acquisition is valued at approximately $166 million, comprising
approximately $154 million in cash, and the remainder in Atlassian
restricted shares, subject to continued vesting provisions. The purchase
price under the definitive agreement is subject to customary adjustments.
The transaction is expected to close in April, subject to certain
closing conditions.
For fiscal 2019, the acquisition is expected to add approximately $1-2
million to Atlassian’s revenue. Additionally, for fiscal 2019, the
acquisition is expected to reduce Atlassian’s IFRS operating margin by
approximately one point and reduce non-IFRS operating margin by
approximately half a point. The acquisition is also expected to be
dilutive to the company’s IFRS and non-IFRS operating margin in fiscal
2020. These estimates reflect a reduction relating to fair value
adjustments to acquired deferred revenue.
Forward-Looking Statements Disclosure
This press release includes forward-looking statements, within the
meaning of the Private Securities Litigation Reform Act of 1995, which
are subject to risks, uncertainties and other factors, including risks
and uncertainties related to Atlassian’s ability to integrate the
business, technology, products, personnel and operations of AgileCraft,
and the financial statement impact of the transaction on Atlassian. All
statements other than statements of historical fact are statements that
could be deemed forward-looking statements, including statements
regarding: the ability of Atlassian to extend its leadership
into enterprise agile planning software and other anticipated benefits
of the transaction to Atlassian and to the combined companies; potential
benefits of the transaction to Atlassian and AgileCraft customers; the
ability of Atlassian and AgileCraft to close the announced transaction
and the timing of the closing of the transaction; AgileCraft's
technology; any statements of expectation or belief; and any statements
of assumptions underlying any of the foregoing. These risks,
uncertainties and other factors, and the general risks associated with
Atlassian’s and AgileCraft's business, could cause actual results to
differ materially from those stated or implied in these forward-looking
statements. For a discussion of these and other risks and uncertainties,
you should refer to Atlassian’s most recent Form 6-K (reporting our
quarterly results) filed with the Securities and Exchange Commission as
well as other documents that may be filed by Atlassian from time to time
with the Securities and Exchange Commission. Atlassian undertakes no
obligation to update any forward-looking statements made in this press
release to reflect events or circumstances after the date of this press
release or to reflect new information or the occurrence of unanticipated
events, except as required by law. The achievement or success of the
matters covered by such forward-looking statements involves known and
unknown risks, uncertainties and assumptions. If any such risks or
uncertainties materialize or if any of the assumptions prove incorrect,
Atlassian’s results could differ materially from the results expressed
or implied by the forward-looking statements we make. You should not
rely upon forward-looking statements as predictions of future events.
Forward-looking statements represent our management’s beliefs and
assumptions only as of the date such statements are made.
About Atlassian
Atlassian unleashes the potential of every team. Our team collaboration
and productivity software helps teams organize, discuss and complete
shared work. Teams at more than 138,000 customers, across large and
small organizations - including General Motors, Walmart Labs, Bank of
America Merrill Lynch, Lyft, Verizon, Spotify and NASA - use Atlassian’s
project tracking, content creation and sharing, and service management
products to work better together and deliver quality results on time.
Learn more about our products, including Jira Software, Confluence,
Trello, Bitbucket, Opsgenie and Jira Service Desk, at https://atlassian.com/
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Investor Relations Contact
Ian Lee
IR@atlassian.com
or
Media Contact
Danielle Gazitt
press@atlassian.com
Source: Atlassian Corporation Plc