Twilio ends trading flat after tanking 12% on a $2 billion deal with SendGrid

• Twilio announced it would buy SendGrid in a $2 billion deal.
• Twilio facilitates customer communication for software developers, and SendGrid offers at-scale emailing services.
• Shares of SendGrid rose 18 percent Tuesday.

Jeff Lawson, CEO of Twilio.

Scott Mlyn | CNBC

Shares of business messaging company Twilio ended trading essentially flat Tuesday after initially tanking 12 percent a day after the company announced a $2 billion all-stock deal for mass emailing company SendGrid.

Twilio stock fell below $67 at its lowest point Tuesday, but closed just a fraction of 1 percent down at $75.92.

The company facilitates customer communication for software developers, and SendGrid offers at-scale emailing services.

Shares of SendGrid rose 18 percent Tuesday.

Twilio stock has far outpaced the overall market this year, up more than 220 percent in 2018.