Salesforce is paying $300 million to acquire its own charitable foundation, and it could add as much as $200 million to its annual revenue

Salesforce co-founder and co-CEO Marc Benioff. Mike Windle/Getty Images
  • Cloud software giant Salesforce will pay $US300 million to merge with, its external philanthropic arm that offers Salesforce software to non-profits, the company announced Monday.
  • will now function as an industry vertical within the Salesforce corporation. Rob Acker, current CEO of, will run the vertical.
  • Salesforce also raised its fiscal 2020 revenue guidance by $US150 million to $US200 million, and lowered its earnings-per-share forecast by $US0.20 on Monday.
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Salesforce will pay $US300 million to merge with its external philanthropic arm in a deal that will grow the software giant’s annual revenue by $US150 million to $US200 million, the company announced on Monday. is an official Salesforce software reseller which distributes grants and puts the company’s software into the hands of nonprofits and educational organisations at a discount or for free. With the new structure, the group’s discounted sales revenue will roll into Salesforce’s topline.

Rob Acker, CEO of, will continue to run the unit as an industry vertical focused on non-profits and education, akin to Salesforce’s marketing cloud vertical and sales cloud vertical.

As part of the deal, which switch from being a California public benefit corporation to a California business corporation, according to the release.

The $US300 million merger fee will go to the Foundation, an independent non-profit.

Read more: The new co-CEO of Salesforce explains how the $US124 billion cloud company’s ‘fourth’ act is using AI to give its customers the ‘Holy Grail’

Salesforce updated its guidance for fiscal year 2020 to reflect the merger. The company forecasts that its full year revenue will grow $US150 million to $US200 million because of the combination. The company said in early March that it expects to make $US15.95 billion to $US16.05 billion in revenue in 2020.

It also expects to see adjusted earnings per share of $US2.54 to $US2.56 for Fiscal 2020, down from its March forecast of $US2.74 to $US2.76 per share.