Ooma, Inc., a smart communications platform for businesses and consumers, announced the successful closing of its previously announced acquisition of Newark-based Phone.com, a provider of cloud-based business communications for small and medium-sized organizations, for approximately $23.2 million in cash, subject to customary working capital adjustments.
Ooma announced the acquisition in late November.
Phone.com is expected to generate $22-$23 million in revenue and $1.0-$1.5 million in adjusted EBITDA annually, based on current run rates and before synergies, and be accretive to Ooma’s Adjusted EBITDA and non-GAAP earnings per share that started on Dec. 26.
“We are pleased to join forces with Ooma, whose vision and capabilities align perfectly with our mission to provide smarter business communication solutions,” said Ari Rabban, chief executive officer of Phone.com, when the agreement was announced.
“I am extremely proud of our achievements and confident that Ooma’s commitment to quality, integrity and steady growth will enable Phone.com to innovate and continue to deliver value to our customers.”
Founded in 2006, Phone.com is a cloud communications/UCaaS provider focused on serving small and medium-sized businesses. Like Ooma Office, Phone.com offers flexible, affordable and reliable solutions spanning voice, video, text, specialized call handling, and desktop and mobile applications.
The company serves approximately 36,000 customers and 87,000 users across North America from its proprietary UCaaS platform.
Telegraph Hill Advisors served as the exclusive financial advisor to Phone.com in the transaction.
