Adobe announced Thursday that it will acquire design software firm Figma for about $20 billion in cash and stock. Figma creates cloud-based design software that enables teams to collaborate in real-time. It competes directly with Adobe’s XD program. The company was valued at $10 billion in its latest funding round in 2021.
Figma, whose backers include Index Ventures, Greylock Partners and Kleiner Perkins, is expected to generate more than $400 million in annual recurring revenue this year, sources familiar with the company’s finances previously told CNBC. Adobe has confirmed that Figma’s ARR will exceed $400 million by 2022.
