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Salesforce May Face Integration Challenges With Prospective Acquisition of Informatica, RBC Says
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Salesforce May Face Integration Challenges With Prospective Acquisition of Informatica, RBC Says
Apr 15, 2024 8:54 AM

11:36 AM EDT, 04/15/2024 (MT Newswires) -- Salesforce's ( CRM ) prospective acquisition of Informatica ( INFA ) may present integration challenges for the customer service software company, RBC Capital Markets said in a report sent Monday.

"While we understand the potential strategic rationale and messaging, we are mixed on the deal overall, especially given the size," the brokerage said.

RBC said bringing together Infomatica and Salesforce's ( CRM ) earlier acquisitions such as MuleSoft and Tableau and its Data Cloud business may prove challenging for Salesforce ( CRM ), it said.

"We recognize the difficulty of integrating all of these services and question the necessity of Salesforce ( CRM ) owning Informatica ( INFA ), versus partnering," it said.

RBC said the reported talks to acquire Informatica ( INFA ), which offers enterprise cloud data management and data integration services, remain unsubstantiated, adding it has no knowledge of any potential deal.

The firm maintained its outperform rating on CRM and price target of $350 following the reports.

Salesforce ( CRM ) shares were more than 5% lower in recent trading, while Informatica ( INFA ) was down more than 7%.

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