Domo sells its main businesses for $400 million, leaving founder Josh James with a hoard of cash to put to work
Progress Software is acquiring the AI and data business of Domo for $400 million, leaving the remaining entity with significant cash and tax assets. Founder Josh James will continue to lead the remaining public company as it explores new business opportunities.
Why it matters
The deal marks a major pivot for a struggling tech firm and highlights the strategic value of tax-loss carryforwards in corporate restructuring.
Josh James, founder and CEO, Domo. Business Wire/AP Progress Software is acquiring Domo's AI and data business for $400 million. Domo will keep its current leadership and operate as a separate entity after the deal. Business Insider previously reported on Domo's business and leadership challenges. Progress Software agreed to buy Domo's AI and data business for $400 million, ending a tumultuous chapter for tech executive Josh James. It's not the end, though. Progress, a public software company with a $1.5 billion valuation, will buy almost all of Domo's operations and employees and assume some of its liabilities, according to announcements . "I believe Progress can provide a strong, long-term home for Domo's business and help extend the impact of what our team has built," James said in Domo's announcement . After the deal closes, Domo will remain a separate publicly listed company with a different name and ticker.
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