Lexmark International Inc. announced earlier this week that the board of Kofax Ltd. have accepted an offer whereby Lexmark will acquire Kofax in a deal valuing Kofax at about a billion dollars. This is some two or three times more than most analysts' estimates for the value of Kofax. Lexmark will fund the acquisition from cash reserves.
Xerox had been in discussions with Kofax for some time, but a counter bid
seems unlikely in the light of the sum involved and Kofax's stated agreement
to the deal.
The Kofax high-volume document capture Solutions (for example, Kofax Capture, Kofax Web Capture, Kofax Express ...) complement Lexmark's Solutions very well. Upon completion, the acquisition of Kofax will nearly double the value of Lexmark's already substantial software business. Lexmark acquired Perceptive Software in 2010. The numerous proven, production-level document capture Solutions in the Kofax catalogue - together with their 20,000-strong customer base and their 800 partners worldwide - will be in the hands of Lexmark, consistently the manufacturer with the tightest focus on the lucrative Solutions market (worth 10 billion dollars in the USA alone, with 10% year on year growth).