Cloud communications company, Sinch, has entered into a definitive agreement to acquire German SaaS platform for conversational messaging, MessengerPeople, for EUR 48 million.
Founded in Munich in 2015, MessengerPeople offers a cloud-based software suite that makes it easy for businesses to engage with their customers via messaging apps like WhatsApp, Telegram and Apple Business Chat (iMessage). The company was amongst the first innovators to recognize the potential of next generation messaging channels and build software tools for businesses to leverage these capabilities.
More than 700 businesses use MessengerPeople applications to engage with their customers, and around 80% of these businesses are based in the DACH region.
MessengerPeople complements Sinch’s API-based offering for larger enterprises and channel partners. The MessengerPeople platform is particularly well-suited for pre-sales and customer care, which accounts for around 85% of current volumes. Monetization is based primarily on subscriptions and monthly active users, through a software-as-a-service (SaaS) model, rather than on transaction volumes.
The acquisition builds on Sinch’s ongoing organic investments and previous acquisitions in next-generation, conversational messaging. Integration cost is estimated to SEK 16 million over 12 months, with targets centered on cross-sales, accelerated geographic expansion, and product integration with Sinch’s communication APIs and related Sinch applications.
Oscar Werner, CEO, Sinch