Adobe has agreed to buy Semrush for $1.9 billion in cash, the companies announced on Wednesday. The deal is meant to boost Adobe’s marketing tools and strengthen its use of generative AI for brands.
Adobe will pay $12 per share, which is about 77% higher than Semrush’s last closing price. After the announcement, Semrush shares jumped 74% to $11.79.
Semrush builds AI-powered tools that help companies with SEO, social media performance, and digital ads. Adobe says buying Semrush will help marketers understand how customers discover and talk about their brands — not just through web searches, but also through AI chatbots like ChatGPT and Google’s Gemini.
Analysts say Adobe is paying a high price, since Semrush does not produce huge revenue on its own. However, they note Adobe may be buying it for strategic reasons: Semrush’s rich data could help Adobe build more AI products that marketers will pay for.
Adobe’s software lineup — including Photoshop, Illustrator, Acrobat, and InDesign — is widely used by designers, students, and creative teams. But the company is under pressure from investors to grow faster in AI as competition in digital design heats up. Adobe’s stock has fallen more than 27% this year.
Some analysts say the deal makes sense because Adobe has a strong track record with acquisitions. Others argue it doesn’t fully address ongoing concerns about growth in Adobe’s Creative Cloud business.
Adobe has recently tried to expand its AI footprint. It raised its revenue outlook in September and later announced a partnership with OpenAI that will let users control Adobe apps directly through ChatGPT.
The Semrush acquisition is expected to close in the first half of next year.
