Domo, Inc. Enters Asset Sale Agreement for AI & Data Platform (~$400M)

What Happened
Domo, Inc. announced on July 22, 2026 that it entered into an Asset Purchase Agreement to sell substantially all assets and employees of its AI and Data Platform business to Progress Software Corporation for an aggregate purchase price of approximately $400 million. The company’s board unanimously approved the transaction, Majority Stockholders provided written consent the same day, and no additional stockholder vote is required. Domo will retain its net operating loss (NOL) carryforwards and certain other tax attributes and adopted a Tax Benefits Preservation Plan to protect those tax benefits.

Key Details

• Purchase price: approximately $400 million, subject to a downward adjustment if cash acquired at closing is less than $25 million and for any outstanding indebtedness of the sold business.
• Closing conditions: customary conditions including expiration/termination of the HSR antitrust waiting period and filing of an SEC information statement; there is no financing condition.
• Tax treatment: Domo retains its NOLs and certain tax attributes; the board adopted a Tax Benefits Preservation Plan to protect future use of those tax benefits.
• Termination fee: Domo may owe Progress a $13.5 million termination fee under specified circumstances (e.g., certain breaches, competing transactions, or lender enforcement events).
• Governance: Progress obtained a Voting & Support Agreement from Majority Stockholders (who executed the written consent approving the sale).

Why It Matters
This is a major strategic transaction that sells Domo’s core AI and Data Platform business while preserving the company’s tax attributes (NOLs). Investors should note Domo is not liquidating — the company plans to evaluate uses for the cash proceeds (including potential asset acquisitions to monetize retained NOLs). The deal is subject to standard regulatory and closing conditions and includes protections for both parties (no‑shop restrictions and a potential $13.5M termination fee). A press release and the Purchase Agreement were filed as exhibits to the 8‑K.