SAP to buy software firm Qualtrics in $8 billion

"SAP SE has agreed to purchase Qualtrics International Inc. for $8 billion in cash, the companies announced Sunday.

Qualtrics, a Utah-based software company, had filed for an initial public offering in October hoping to raise about $200 million.

In a statement, Qualtrics CEO Ryan Smith said “SAP will help us scale faster and achieve our mission on a broader stage. This will put the XM Platform everywhere overnight.” The XM Platform is Qualtrics’ experience-management software for feedback and data analysis.

Smith will continue to lead Qualtrics, and the company said it expects full-year 2018 revenue to exceed $400 million." :…


That is approximately 20x revenue.

Obviously a lot of other factors to consider, but 20x revenue should be a nice reinforcement for our hyper-growth software companies.