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2009 acquisition acquisitions archive article back issue Boss News BPM BPO by John Symon by Mark Edwards by Paul Carman december Document Boss Document Management ECM IBM interview John Symon M&A Mark Davis Mark Edwards mergers and acquisitions news newsletter perspective recruitment SVP Asia Pacific SVP Continental Europe SVP North AmericaOpen Text to Acquire Burntsand Inc. for $11 Million
28 April 2010Open Text to Acquire Burntsand Inc. for $11 Million
Burntsand Inc. a provider of technology consulting services for customers with complex information processing and information management requirements, has entered into a definitive agreement with Open Text Corporation, under which Open Text will acquire all of the issued and outstanding common shares of Burntsand for CDN $0.15 per share. The transaction is valued at approximately CDN $11 million. This deal is expected to close in the second quarter.
About Burntsand:
Burntsand is a business consulting and technology services company that designs, architects, and implements information technology. Learn more about Burntsand at www.burntsand.com.
About Open Text:
Open Text is the world's largest independent provider of Enterprise Content Management software. The company's solutions manage information for all types of business, compliance and industry requirements in large companies, government agencies and professional service firms. Open Text supports approximately 46,000 customers in 114 countries and 12 languages. For more information about Open Text, visit www.opentext.com.
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This latest announcement reflects the growing interest by the larger ECM players in companies with system integration & domain expertise in areas such as ECM & Collaboration who also have an attractive customer base in document & business process intensive applications markets such as Life Sciences,Healthcare, Financial Services, Government & Energy.
Customer acquisition seems to be the biggest driver for this announcement, not technology - something not in short supply with Open Text following a spate of technology based acquisitions in recent years. In addition, companies of all sizes are recognizing that the ability to DELIVER solutions rapidly and cost effectively is a critical component of business and revenue growth. Document Boss expects more of these types of acquisitions; companies that can identify customer problems and rapidly deliver robust solutions will be more in demand.
However, given EMC/Documentum appears to be one of three established Burntsand business partnerships (along with Microsoft & BMC) one wonders how this might be affected by the Open Text investment?