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Mailgun's acquisition by Rackspace 'imminent'

Rackspace is to acquire Mailgun.

29 August 2012

Open cloud company Rackspace Hosting has revealed that it intends to purchase Mailgun and has entered into a definitive agreement to do so.

Acquiring this firm is expected to make it easier for Rackspace to integrate email services through the cloud into websites and applications.

Following contract negotiations and business discussions between the two parties, the transaction is scheduled to close in the immediate future.

Currently, Rackspace has more than 190,000 customers and aims to provide clients with freedom from any lock-in schemes, as well as flexibility and choice.

Mailgun's client list is growing by around 20 per cent every month and the service, which enables users to track, receive and send emails from within applications, already has the Financial Times, Parse and 37Signals among its customers.

"Mailgun is excited to join the Rackspace family. We believe in their open cloud strategy and we love the customer support mentality that permeates the company," chief executive officer and founder of the firm Ev Kontsevoy said.

Posted by Edel Quinn

Source: Rackspace press release, August 28th

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