Domo is a prime M&A target, but its CEO doesn't want to sell: sources - Business Insider

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Domo is a prime M&A target, but its CEO doesn't want to sell: sources - Business Insider
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Industry insiders think $927 million Domo is the next big cloud acquisition – but sources say CEO Josh James has rebuffed encouragement to sell and wants to prove he's 'not just a founder, but a CEO'

, Domo is "one of those companies that it's kind of surprising that it hasn't been acquired yet."

Regardless of Domo's newly-solid footing, however, it's long been eyed as a potential takeover target. Earlier this year, But James has been heavily disinclined to sell, two banking sources told Business Insider. He would apparently prefer that Domo builds a tech empire of its very own: He's always "wanted to prove he's not just a founder, but a CEO," said a source who works for a Domo competitor. Domo declined to comment on potential M&A activity.

Prior to Domo, James was best known for selling his previous company Omniture to Adobe for $1.8 billion in 2009.shows James first declined Adobe CEO Shantanu Narayen's advances, saying he preferred to discuss "partnership opportunities." Narayen kept pressing, and two months later, James relented and formal acquisition talks began.

Asked during the company's Domopalooza conference in March whether it was time to considering selling the business to a larger vendor like SAP or Oracle or Microsoft, James said: "We always take inbounds when we come. I'm certainly not opposed to selling the company. He added: "Do I want to sell? No, I don't want to sell, but there's the reality of also having to face whatever is taking place with your ability to execute out there in the marketplace.

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