CXApp triples revenue run-rate to $12M with EngineRoom buy

CXApp Inc. agreed to acquire EngineRoom, an AI-powered growth intelligence platform, in a deal that will triple the enterprise software company's annualized revenue run-rate to more than $12 million and add about $1.6 million of adjusted earnings.

"This acquisition is about accelerating the next phase of CXAI," said Khurram Sheikh, chairman and chief executive officer of CXApp. "We believe AI is moving from point solutions and copilots into the operating layer of every modern organization. Our vision is for CXAI to become that agentic operating layer."

EngineRoom, which focuses on customer acquisition intelligence, attribution analytics and workflow automation, is expected to generate roughly $8.1 million of annualized revenue, with about 94% recurring. The deal also brings more than 50 customer relationships across mid-market organizations, giving CXApp an established distribution channel for its Agentic AI SKY platform without building one from scratch.

The acquisition comes as CXApp, which trades on the Nasdaq under the ticker CXAI, seeks to expand beyond its enterprise customer base into mid-market organizations. EngineRoom's expertise across Google Ads, Google Analytics and Google Cloud complements CXApp's existing Google Cloud initiatives, creating opportunities for AI-powered analytics and automation across a broader customer base. Shares surged about 70% in premarket trading Thursday, putting the stock on track to cross its 100-day moving average after multiple failed attempts in May.

EngineRoom founder Adam Laurie has committed to remain with the business for at least three years following closing. He will lead the unit as general manager of CXAI EngineRoom, a subsidiary of newly formed holding company CXAI Australia, and will spearhead global growth initiatives.

The transaction establishes a framework for developing industry-specific AI solutions targeting professional services, healthcare, financial services, technology, education and sports and entertainment. By combining CXApp's operational intelligence with EngineRoom's growth intelligence, the company intends to create repeatable vertical AI offerings that can scale across both enterprise and mid-market customers globally.

Financial terms of the deal were not disclosed. The acquisition is expected to close in the coming months, subject to customary closing conditions.

This article is for informational purposes only and does not constitute investment advice.