Topics
up-to-the-minute
AI
Amazon
Image Credits:Freshworks
Apps
Biotech & Health
Climate
Image Credits:Freshworks
Cloud Computing
commercialism
Crypto
initiative
EVs
Fintech
fund-raise
convenience
stake
Government & Policy
Hardware
Layoffs
Media & Entertainment
Meta
Microsoft
privateness
Robotics
Security
Social
Space
Startups
TikTok
Transportation
Venture
More from TechCrunch
event
Startup Battlefield
StrictlyVC
Podcasts
Videos
Partner Content
TechCrunch Brand Studio
Crunchboard
Contact Us
Freshworks , the publicly list SaaS business firm , is acquire U.S.-based startup Device42 for $ 230 million , the companydisclosedin an SEC filing . Alongside the acquisition disclosure , Freshworks unwrap that founder Girish Mathrubootham has ill-treat down as chief executive officer . Dennis Woodside , who joined Freshworks as chairwoman in September 2022 and previously served as CEO of Motorola Mobility , will take over as the new CEO . Mathrubootham is becoming executive chairman .
Device42helps companies make do their IT substructure and provides insights into their system of rules , from mainframe to defile . It lately beganoffering carbon paper emissions tracking . By providing a comprehensive and real - time armory of all IT plus — including ironware , software , and net constituent — Device42 claim it can help organizationsoptimize resource allocationalongside wide visibility into their systems .
Device42 is Freshworks ’ first accomplishment since the company — founded in India but now headquarter in San Mateo — went public in 2021 . “ With more than 800 customers around the public , Device42 provide go-ahead - grade IT plus management capabilities , which we believe can further tone up our Freshservice offer , ” Mathrubootham told psychoanalyst on the net call Wednesday .
“ We have historically partnered with Device42 on large enterprise opportunities in the field . And after the transaction closes , we look forward to serving client as one integrated team . We expect the transaction to fold later on in Q2 , ” he added .
The startup hadraised $ 38.5 millionin previous financing rounds from investors , include LongRiver Investments and Elm Street Ventures , agree to Crunchbase .
Mathrubootham has been a key fixture in India ’s SaaS growth story for more than a decade — he founded Freshworks in Chennai in 2010 — and although he will continue to attend on Freshworks ’ board , shares of Nasdaq - trade Freshworks fell 25 % in trades after the markets closed , potentially rub out about $ 1.4 billion from the house ’s grocery jacket . Freshworks , which competes with business firm such as Salesforce , ServiceNow , HubSpot and Zoho , ended trading on Wednesday with a mart chapiter of about $ 5.3 billion .
“ Management state that the transition to the Chairman for Mr. Mathrubootham was planned as part of succession preparation and the shift will let him to pore on recollective - term merchandise strategy and AI . While a shift at the top is upset , we benefit comfort from Mr. Woodside ’s strong caterpillar tread record and key role he has played in work up out Freshworks ’ enterprisingness GTM motion since get together the fellowship , ” Morgan Stanley analysts pen in a note Thursday .
Join us at TechCrunch Sessions: AI
Exhibit at TechCrunch Sessions: AI
Freshworks reported its first - quartern earnings on Wednesday , revealing continued impuissance in its small and medium - sized business and client Robert William Service segments . It stay affirmative about the adoption of its AI - powered solutions — Freddy AI and Co - Pilot — across various client segments , Freshworks articulate .
