Enterprise software maker Atlassian (ASX:TEAM) experiences a 4.7% fall in shares, dropping to $189.95.

The company has announced its decision to purchase video messaging platform Loom for an approximately $975 million through a stock and cash deal.

The total value is to be divided as $880 million in cash and the remainder in shares, as stated by the company.

The deal is expected to conclude in the third quarter of fiscal year 2024.

Prior to this decision, the company’s stock had witnessed a rise of about 55% Year-To-Date.

Atlassian is a company known for creating a host of popular software services aimed at enhancing productivity in the corporate setting.