Zoom Video Communications shares climbed higher Friday, after Five9 shareholders voted to reject its $14.7 billion takeover bid.
The ongoing decrease in Zoom's share price made the all-stock proposed deal less appealing to Five9 shareholders. The deal implied a bid price of $200.28 in early July, but $144.70 when the vote took place last night. Also, Five9 investors were advised to reject the deal by proxy advisor group Institutional Shareholder Services.
“While we were excited about the benefits this transaction would bring to both Zoom and Five9 stakeholders, including the long-term potential for both sets of shareholders, financial discipline is foundational to our strategy,” said Zoom CEO Eric Yuan. “The contact center market remains a strategic priority for Zoom, and we are confident in our ability to capture its growth potential”.
"We also plan to maintain our valued existing contact center partnerships with companies like Five9, Genesys, NICE inContact, Talkdesk, and Twilio," he added.