Facebook Acquires Redkix

Facebook (NASDAQ:FB) has acquired Redkix to beef up its Workplace service.

Facebook Acquires Redkix

Source: Shutterstock

The deal was announced by Redkix on its website. In the statement, the company specifically notes that it will be joining Facebook’s Workplace team. It also says that it will be winding down its own application due to this change.

“Bringing people closer together is at the core of Facebook. Workplace brings this mission to enterprises to make them more connected and productive, Redkix cofounders Oudi and Roy Antebi say in a statement. “We’re aligned with their vision and excited to work with them to help companies collaborate and get work done.”

There not much else in the way of details about the acquisition of Redkix by Facebook. The amount that FB is paying to add the company’s expertise to its own Workplace team wasn’t announced by either party.

Despite this, there are still rumors about how much money was spent by Facebook to acquire Redkix. Calcalist, a news website based out of Israel, which is where Redkix has its headquarters, says that the offer for the company was roughly $100 million.

Redkix is a service that helps connect employees by combining multiple communication methods. This includes offering group chats, different channels and email. The idea is that bringing all of these communication methods together creates a better way for employees to keep in contact with each other.

FB stock was down 18% as of noon Thursday.

As of this writing, William White did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media, https://investorplace.com/2018/07/facebook-acquires-redkix/.

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