PagerDuty Completes Acquisition of DevOps Automation Leader and Innovator Rundeck
PagerDuty, Inc. (NYSE: PD), a global leader in digital operations management, today announced that it has completed the acquisition of Rundeck, a leading provider of DevOps automation for enterprise. The addition of Rundeck’s intelligent machine automation, including auto-remediation and self-healing, to PagerDuty’s leading incident response offering will enable teams on the digital frontline to resolve faster, reduce costs and protect customer experience.
“We now depend on digital services to live, learn, work and connect, causing a fundamental shift for every business, with digital transformation initiatives accelerating to meet business and customer demands. This puts immense pressure on the teams responsible for the online customer experience”
Rundeck democratizes automation in the IT organization, giving engineering, IT, customer service and security teams a self-service way to run automated machine-centric workflows – or runbooks – to prevent, diagnose and resolve incidents without needing to escalate to an expert.
“We now depend on digital services to live, learn, work and connect, causing a fundamental shift for every business, with digital transformation initiatives accelerating to meet business and customer demands. This puts immense pressure on the teams responsible for the online customer experience,” said Jennifer Tejada, Chief Executive Officer at PagerDuty. “Since March alone, there’s been a 40% increase in incidents across the board, and digital teams are working an extra 10-15 hours per week firefighting. Rundeck combined with PagerDuty can now automate the entire incident response lifecycle, reducing costs, saving time and optimizing customer experiences and revenue.”
The aggregate purchase price for the acquisition was approximately $100 million, excluding adjustments, paid approximately 60% in cash and 40% in PagerDuty common stock.
Safe Harbor Statement
This press release contains “forward-looking statements” that are based on PagerDuty’s beliefs and assumptions and on information currently available to PagerDuty as of the date of this press release. Forward-looking statements include, but are not limited to, the expected benefits of the acquisition, the ability to successfully integrate Rundeck into PagerDuty’s business, the impact of the acquisition on PagerDuty’s products and services, the capabilities of Rundeck’s products and services, and the expected dilution to PagerDuty’s stockholders. There are a significant number of known and unknown risks, uncertainties, and other factors that could cause PagerDuty’s actual results, performance, or achievements to be materially different from those expressed or implied by the forward-looking statements, including: difficulties encountered in integrating the merged business, technologies, personnel and operations; costs related to the acquisition; market acceptance of the acquisition and resulting products and services; PagerDuty’s inability to realize value from its significant investments in its business, including product and service innovations; and general market, political, economic and business conditions.
Additional information on potential factors that could affect PagerDuty’s financial results is included in the company’s Quarterly Report on Form 10-Q for the quarter ended July 31, 2020, which is on file with the U.S. Securities and Exchange Commission and PagerDuty’s other filings with the SEC. Except as required by law, PagerDuty undertakes no intention or obligation to update or revise any forward-looking statements or to update the reasons actual results could differ materially from those anticipated in the forward-looking statements, whether as a result of new information, future events or otherwise.