Zuora to Acquire Zephr for $44M to Expand Subscription Solutions

Subscription management platform provider Zuora has announced plans to acquire subscription experience platform Zephr for $44 million.

Zephr is used by digital publishing and media companies, so the acquisition will boost Zuora’s standing in that industry, expand its opportunities in other industries and speed its platform innovation, according to a Wednesday (Aug. 24) press release.

“The winners in the media industry are those continuously innovating around new services, bundles and offers,” Zuora CEO and Founder Tien Tzuo said in the release. “And where the media industry goes, other industries will follow. This is what combining Zuora and Zephr is about.”

The acquisition will combine Zephr’s “identity management, intelligent trials, dynamic paywalls, entitlements management” and decision engine capabilities with Zuora’s billing, collect and revenue systems, per the release.

As Zephr has been a Zuora partner, its pre-integrated solution is already being used by joint customers, and it will immediately expand Zuora’s product suite, according to the release.

“Our focus has been on giving our customers the agility they need to deliver the experiences that modern customers expect — it starts from the first digital interaction, to conversion, to renewal,” Zephr CEO James Henderson said in the release. “It was a clear decision to join Zuora to accelerate where our platform is headed and empower all of our customers to nurture and monetize their subscriber relationships.”

The news comes about six weeks after Zuora announced that it had partnered with BNP Paribas Leasing Solutions to offer new usage solutions for professional equipment.

Read more: Zuora, BNP Paribas Leasing Solutions Team Up to Offer Usage-Based Equipment Services

The tie-up allows industry partners to offer their customers usage-based equipment, avoiding the need to own and maintain expensive gear.

“Now on Zuora, BNP Paribas Leasing Solutions will have the flexibility and agility to make critical equipment more accessible and tailored to companies’ individual needs, all while providing more sustainable options,” Zuora President and Chief Revenue Officer Robbie Traube said at the time.

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