Alphabet’s acquisition of HubSpot isn’t happening

Sources told Bloomberg that Alphabet’s potential deal to acquire HubSpot is shelved. “Parties didn’t get to due-diligence stage in deal talks,” said the report.

Early rumors about the talks seemed to solidify at the end of May, when CNBC’s David Faber reported the companies continued to have discussions and an all-stock deal was on the table.

Why we care. This story was running for three months plus. Rumors that Alphabet is in talks to acquire HubSpot (April); Alphabet is definitely in talks to acquire HubSpot (May); no, it’s not going to happen (July). In the meantime, HubSpot users were either wondering what it would mean for a central part of their marketing stack, or maybe just ignoring it all.

Whatever the truth of any of the rumors, HubSpot’s shares moved up and down like a yo-yo at each twist of the story. Maybe things will settle down now?

Below is MarTech’s coverage from May 9, 2024, when HubSpot released its earnings and more reports surfaced of an Alphabet-HubSpot deal:

HubSpot’s earnings and revenue beat expectations for the ninth consecutive quarter amid more reports of a sale to Google’s parent company Alphabet.

The Cambridge, Mass., digital marketing vendor reported earnings at $1.68 a share and revenue of $617.4 million for the first quarter of 2024. The earnings are up 40% from the same period last year and a 23% increase in revenue. Analysts had expected HubSpot earnings of $1.50 on sales of $598 million.

The company’s stock price, which fell slightly following Wednesday’s earnings report, bounced back Thursday morning on news of acquisition talks between HubSpot and Alphabet. Citing unnamed sources, Bloomberg reported that negotiations were “progressing,” although it provided no details. News of the discussions between the two companies first surfaced in April.

Over the past 12 months, HubSpot shares have gained about 32%, giving the company a market value of $30 billion.

Dig deeper: HubSpot launches new genAI-powered Content Hub