ToutApp Acquired by Marketo

ToutApp, an intelligent email solution for sales teams to increase sales through email campaigns, tracking and analytics was added to our list of portfolio in 2011 and since then it raised a total funding of $21.48M including Series A and B rounds. Tawheed Kader, ToutApp’s founder was approached by Steve Lucas, CEO of Marketo, a marketing automation solution and finally Marketo acquired ToutApp to combine their forces and create a next generation customer engagement platform. This acquisition is quite natural and makes more sense for both companies because 61% of ToutApp’s customers already use Marketo for their marketing automation needs.

The price for the acquisition could not be learned, but sources told Fortune it would not produce a significant return for investors. The company had to “right size” some of its operations last year. The company’s annual revenue is between $5 million and $10 million in annual revenue and growing. ToutApp management will stay on after the acquisition.

Marketo CEO Steve Lucas, who joined the company in October, tells Fortune he approached ToutApp about a deal four months ago. The company plans to unveil the acquisition on Monday as part of a new “engagement platform” it will launch at its Marketing Nation Summit.

Lucas says this deal will “bridge the gap” between Marketo’s existing marketing technology offerings and ToutApp’s sales technology.

Please read full story at Fortune.

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