CM.com completes acquisition of Building Blocks, adding consumer AI technology to its conversational commerce cloud software
CM.com, a global leader in cloud software for conversational commerce, has completed the acquisition of Consumer AI technology company Building Blocks. The company combines Artificial Intelligence software and services, empowering its customers to build more relevant and personalized interactions across the customer journey, enhancing the customer experience and boosting business results.
The acquisition will be paid for by a combination of a cash and an equity consideration. This consideration excludes a capped earn-out for excess revenue growth above a specific threshold. The cash consideration amounts to € 6.9 million. The equity consideration will consist of 129,787 ordinary shares in the share capital of CM.com N.V. The shares will be purchased by CM.com N.V. in the open market in the following weeks.
Over the past three years the Annual Recurring Revenue (ARR) of Building Blocks increased on average by 97% per year and currently adds up to approximately € 4.0 million. As a result, the acquisition will support CM.com’s strategy to increase its ARR and core gross margin.
Building Blocks was founded in 2013. The company has offices in the Netherlands and approximately 40 employees. The company’s suite of Consumer AI solutions focuses on consumer guidance, consumer engagement and consumer care. Its customer portfolio covers select consumer-verticals and includes renowned brands such as Samsung, Basic-Fit, Corendon and Sligro, which demonstrates the versatility of its offering.
CM.com continuously aims to raise the bar and set new standards in conversational commerce. As such, the acquisition of Building Blocks is a great addition and accelerator of our ambition to deliver the next level of conversational commerce aimed at optimizing the customer experience in the entire customer journey.
Similar to previous acquisitions, CM.com believes Building Blocks’ technology is perfectly suited for international expansion. To illustrate, RobinHQ’s technology, acquired in October 2020, has been fully incorporated into CM.com’s Mobile Service Cloud within a year and is now offered in 15 countries.