Chinese multi-capability cloud-based communications solution provider Cloopen Group Holding Ltd (NYSE: RAAS) inked an agreement to acquire customer relationship management (CRM) software provider EliteCRM.

• The financial terms of the transaction were not disclosed.
• Cloopen agreed to offer restricted shares less than 1% of its outstanding share capital on a fully-diluted basis to certain management members of EliteCRM under the arrangement.
• Cloopen will issue the restricted shares under a private placement subject to a vesting schedule of two years and forfeiture to the extent any share remains unvested in case of early termination of employment.
• The acquisition has the potential to complement Cloopen’s business portfolio by consolidating the application layer of its cloud communications infrastructure, enabling it to offer integrated cloud-based contact center solutions with more competitive functions as it stepped up efforts in driving the digital transformation and integration in enterprise management.
• Cloopen just raised $320 million in its February IPO.
• Price action: RAAS shares are down 7.79% at $16.70 on the last check Wednesday.