170 Systems Has Been Acquired by Kofax
About 170 Systems
- 170 Systems, a privately-held company based in Bedford, Massachusetts, was a leading provider of financial process optimization software applications
- The company’s MarkView application is a proven workflow solution for invoice processing and related AP functions that is fully integrated and certified for use with both Oracle and SAP ERP suites
- 170 Systems applications were deployed at over 150 customers (principally within the Fortune 500), including BT, France Telecom, Juniper Networks, Sandia, Select Medical, Thomson Reuters, University of Pennsylvania and Verizon Wireless
- 170 Systems was backed by Polaris Venture Partners
About Kofax
- Kofax plc (LSE: KFX) is a leading provider of hardware and software which enables enterprises to capture, transform and exchange documents and unstructured data into electronic formats
- Kofax markets and sells its products throughout the world through its own sales and service organizations, and a global network of more than 1,000 authorized partners in more than 60 countries throughout the Americas, EMEA and Asia Pacific
- The company is headquartered in Basingstoke, England
Transaction Notes
- The acquisition of 170 Systems by Kofax was announced on September 7, 2009 for a value of $43,000,000
- The combination of Kofax and 170 Systems will allow the combined companies to deliver a complete invoice processing solution that incorporates paper as well as electronic invoice capture and A/P workflow capabilities
- Kofax’s management believes this should allow the company to gain a larger share of the invoice processing market which, according to Paystream Advisors, is forecasted to grow from $1.1 billion in 2008 to over $1.8 billion in 2012 at an 18.3% compound annual growth rate (CAGR)
- The acquisition of 170 Systems continued Kofax’s expansion into higher value-added software and services, with a particular emphasis on growing software revenue, and bringing the company closer to its stated goal of expanding overall marketing reach within the mainstream business process automation market
- Shea & Company served as the exclusive financial advisor to 170 Systems on the company’s sale to Kofax