Sharefile, a mature SaaS company, has been acquired for $875 million with an ARR of $240 million, resulting in a valuation multiple of 3.6x ARR.
The company was bootstrapped for 6 years before being acquired by Citrix in 2011, likely for around $100-150 million.
The low valuation multiple can be attributed to the company's slow growth and the acquirer's negative growth rate of -2.3%.
While the deal makes sense for the acquirer, it highlights the importance of focusing on growth rather than efficiency in order to achieve higher valuations.