Figma's Purchase Price: A Deal Worth $20 Billion

Figma's board of directors has announced that it has reached an agreement to be acquired by Adobe for $20 billion, marking a significant milestone in the company's history. The deal, which was first reported in September, is expected to expand Adobe's user base to include more casual consumers.

According to a filing with the Securities and Exchange Commission (SEC), Figma's board explored options such as seeking another bidder or going public before ultimately deciding that the Adobe merger would provide superior value. Adobe, known for its popular products such as Photoshop and Illustrator, is looking to expand its user base beyond professional designers and creatives.

Figma's CEO and co-founder, Dylan Field, met with Adobe executives on several occasions to discuss strategic partnerships or a potential acquisition. However, it was not until April 2022 that Field suddenly became open to Adobe's purchase offer, according to a timeline set out in the filing released Wednesday.

The deal price of $20 billion is significantly lower than the $23 billion and $21.5 billion offers that Field had previously sought from other parties, including Microsoft, which declined to comment on the matter. Figma had initially approached Microsoft with an acquisition proposal in July 2022, but the company was not interested.

Figma's board directed Field to shop around for other acquirers while negotiating with Adobe, and he ultimately cut off merger discussions with the company in May 2022. However, just a few months later, Field suddenly reversed course and accepted Adobe's offer.

The deal is expected to be completed in the coming months, pending regulatory approval. Figma will continue to operate as an independent business unit within Adobe, with Field remaining at the helm as CEO.

Overall, the acquisition of Figma by Adobe marks a significant milestone for both companies, and it is likely to have far-reaching implications for the design and creative industries. With its expanded user base and increased resources, Figma is poised to become one of the leading design platforms in the world.

Figma purchase price