Needham & Co. Analyst: Five9 Shareholders Should Reject Zoom Acquisition Offer

Not so fast, Zoom. Research analyst Scott Berg says Zoom’s offer to acquire Five9 is “fundamentally flawed” and Five9’s shareholders should reject it.

In July, Zoom and Five9 disclosed the $14.7 billion all-stock transaction. Through the Five9 acquisition, Zoom can extend its global communications network with a cloud-based contact center as a service.

Zoom should complete the acquisition in the first half of 2022, subject to approval by Five9’s stockholders. After the deal closes, Five9 will operate as a business unit within Zoom and remain under Five9 CEO Rowan Trollope.