Alphabet Progressing in Talks to Buy HubSpot, Sources Say

(Bloomberg) — Google parent Alphabet Inc. has been progressing in talks to acquire marketing software provider HubSpot Inc., according to people familiar with the matter.

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Alphabet has discussed terms of a potential deal with HubSpot, said the people, who asked not to be identified because the information is private.

HubSpot shares have gained about 32% over the past 12 months, giving the company a market value of $30 billion. The stock jumped as much as 6% in pre-market US trading Thursday.

Deliberations are ongoing and no agreement has been reached, the people said. There’s no certainty the companies will move forward with a deal, and it’s possible another suitor could emerge, they added. Representatives for Alphabet and HubSpot didn’t respond to requests for comment.

The potential deal would rank among the biggest takeovers this year. Buying HubSpot, a customer relationship management company that focuses on smaller businesses, would fill a gap that could help Alphabet compete with other players in that market such as Microsoft Corp., Oracle Corp. and Salesforce Inc.

Reuters reported last month that Alphabet had met with bankers to discuss the possibility of an offer for Cambridge, Massachusetts-based HubSpot.

–With assistance from Katie Roof, Davey Alba and Brody Ford.