Intuit has divested the financial software DemandForce for an undisclosed sum to Internet Brands. The terms of the deal with Internet Brands, a private media company based in California, were not publicly disclosed.
It would have been of interest to see how much Intuit divested DemandForce for as Intuit bought DemandForce in 2012 for $423.5 million. Indeed, at the time the acquisition was heralded as an important component in Intuit’s movement into the SaaS (Software as a Service) and SMB business.
Then in August 2015, only three years later, Intuit announced in a divestiture move that DemandForce was outside its core business and would be sold. "Demandforce and QuickBase are great businesses, but they do not support the QuickBooks Online ecosystem, and both serve customers that are up-market from our core small business customers," Intuit CEO Brad Smith said on a conference call in August following the divestiture news.
"For Demandforce, we are seeking a buyer who will invest in this industry-leading marketing solution with a growing and talented sales force."
Well, Intuit duly found a buyer and has offloaded the company to Internet Brands, though the DemandForce brand will survive and the team will continue to work out of San Francisco.
In regards to Internet Brands' intentions for DemandForce, it seems it too sees the software as a means of bolstering its presence in the SaaS and SMB market.
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