On Monday, June 13, Microsoft Corporation has announced groundbreaking news. The tech company will be acquiring LinkedIn in an all-cash transaction valued at $26.2 billion.
In a statement, it was disclosed LinkedIn will maintain its distinct brand, culture and independence. Jeff Weiner will remain CEO of LinkedIn, reporting to Satya Nadella, CEO of Microsoft. Haute 100 lister Reid Hoffman, chairman of the board, co-founder and controlling shareholder of LinkedIn, and Weiner both fully support this transaction. The transaction is expected to close this year.
“The LinkedIn team has grown a fantastic business centered on connecting the world’s professionals,” Nadella said in an official statement. “Together we can accelerate the growth of LinkedIn, as well as Microsoft Office 365 and Dynamics as we seek to empower every person and organization on the planet.”
Since its inception in 2002, LinkedIn has grown to become one of the world’s most leading professional social networking site. Over the last few years, it has launched a new version of its mobile app, enhanced the LinkedIn newsfeed to deliver better business insights, acquired a leading online learning platform called Lynda.com to enter a new market; and has revealed a better version of its recruiter product to its enterprise customers. According to Microsoft these new novelties have resulted in increased membership, engagement and financial results, specifically:
- 19 percent growth year over year (YOY) to more than 433 million members worldwide
- 9 percent growth YOY to more than 105 million unique visiting members per month
- 49 percent growth YOY to 60 percent mobile usage
- 34 percent growth YOY to more than 45 billion quarterly member page views
- 101 percent growth YOY to more than 7 million active job listings
“Today is a re-founding moment for LinkedIn. I see incredible opportunity for our members and customers and look forward to supporting this new and combined business,” Hoffman added in the official statement. “I fully support this transaction and the Board’s decision to pursue it, and will vote my shares in accordance with their recommendation on it.”