KineMatik offers automation tools for business processes via OpenText marketplace.
Kitchener-Waterloo-based OpenText, which offers information-management solutions for businesses, is expanding its portfolio of cloud-native tools for digitizing operations with its acquisition of Irish company KineMatik.
In this deal, OpenText is acquiring one of its “Solution Extension (SolEx)” partners, which are part of a program the company created in 2020. The initiative extends the capabilities of OpenText products through the creation and reselling of “complementary partner technologies.”
OpenText has a “structured and disciplined approach” to mergers and acquisitions. – Mark Barrenechea, OpenText
As a gold-level OpenText SolEx partner, KineMatik falls under the category of companies that actively sell or co-sell their solutions with OpenText.
The financial terms of the deal were not disclosed. OpenText said KineMatik’s acquisition is not material to its financial results.
Founded in 1999 in Ireland, KineMatik offers automation tools for business processes including audits, complaints, compliance questionnaires, and incident management, among others.
KineMatik works with organizations in a variety of industries such as life sciences, technology, and finance.
“KineMatik helps enterprise customers in regulated industries meet the highest standards in business process and project management, a key component in information management,” said OpenText CEO and CTO Mark Barrenechea.
Barrenchea previously said that OpenText has a “structured and disciplined approach to [mergers and acquisitions].”
Spun out of the University of Waterloo in 1991, OpenText has been active in its acquisition strategy for several years.
Most recently, OpenText closed its $5.8-billion USD acquisition of Micro Focus earlier this year. Other past acquisitions include its $1.06-billion acquisition of GXS, which added B2B integration and cloud-based fax services to its product suite, as well as its purchase of Texas-based Zix in 2021 worth $860 million.
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OpenText, which is publicly traded on the Nasdaq and Toronto Stock Exchange, saw its stock price increase by 2.44 percent following Wednesday’s announcement of KineMatik’s acquisition.
The slight bump in OpenText’s share price follows the small dip it saw earlier this month, when it declined eight percent as the company’s fourth-quarter earnings for last year were released.
As reported by BNN Bloomberg, OpenText earned $150.4 million in net income for the full fiscal year, a decrease of about 62 percent compared to the $397.1 million from the previous financial year.
Featured image from Wikimedia Commons.
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