The professional social network LinkedIn, with its 200 million members internationally, has announced the acquisition of the start-up Pulse, originally founded in 2010 by two students at Stanford University.
Pulse is a mobile application that makes reading news reports and blogs available on the web. This platform is used by over 30 million users on iOS and Android, from 190 different countries. The application is available in nine different languages, and more than 40% of its users are outside the United States.
The acquisition brings the talent (human resources), technology and all products developed since the inception of the company. According to the press release, the transaction is closer to 90 million U.S. dollars and consists of 90% stocks and 10% cash. The transaction may be concluded with the authorities in the second quarter of 2013. Most of the technology giants tried to acquire the Pulse but it was possible only for LinkedIn. LinkedIn gets their hands on a little gem that will allow it to diversify its activities.
The stock as LinkedIn continues to rise near its annual high of 179$ this morning, which is nearly 90 times the expected earnings per share for the next year. It is trading in a fluctuating between 88.00 and U.S. $ 184.15 in the past 52 weeks range.
