International. As a result, Cisco hopes to position its technologies through the "most extensive and powerful portfolio of security and observability products on the market."
The company said the merger will enable it to deliver a unified, real-time view of the entire digital landscape, helping teams proactively defend critical infrastructure, prevent outages, and refine the network experience.
"We are thrilled to officially welcome him to Splunk. As one of the world's largest software companies, we will revolutionize the way our customers leverage data to connect and protect every aspect of their organization, while helping to drive and protect the AI revolution," said Chuck Robbins, president and chief executive officer of Cisco.
Gary Steele, Executive Vice President and General Manager of Splunk, said, "Bringing Splunk and Cisco together will bring tremendous value to our joint customers around the world. The combination of both companies will provide truly comprehensive visibility and insights across an organization's entire digital footprint, delivering an unprecedented level of resilience."
Transaction Details
Under the terms of the agreement, Cisco acquired Splunk for $157 per share in cash, representing approximately $28 billion in equity value.
The transaction is expected to be cash flow positive (excluding certain acquisition-related and other items) and to increase Cisco's non-GAAP gross margin in fiscal 2025, and to increase non-GAAP EPS in fiscal 2026. In addition, it will accelerate Cisco's revenue growth. and non-GAAP gross margin expansion.
Cisco and Splunk notified NASDAQ of the completion of the acquisition and requested that NASDAQ file a delisting notice with the Securities and Exchange Commission on Splunk's behalf. Splunk's common stock ceased trading on NASDAQ prior to the opening of trading on March 18.
