Open Text Signs Definitive Deal To Buy Some Customer Experience Software Assets of HP

Open Text Corporation (USA)

and HP Inc

struck a definitive deal whereby the former will acquire certain customer experience software assets of the latter. That included HP TeamSite, HP MediaBin, HP Qfiniti, HP Explore, HP Aurasma, and HP Optimost. The deal is worth about $170 million. Open Text Corporation said that the customer experience software is predicted to generate revenue of $85 - $95 million on an annualized basis. The company said that the acquisition would be accretive immediately and would be on its operating model within the first 12 months of closing. The deal is expected to be completed in the fourth quarter of the current year, subject to customary closing conditions. Open Text indicated that the acquisition would complement its current software portfolio, especially its Customer Experience Management and Cloud offerings, enabling it provide better serve to its customers. Additionally, the deal would improve the multi-channel digital experience of OpenText's customers by providing them with leading software products in marketing optimization, mobile marketing, and voice of the customer programs. While Open Text stock traded up by 0.61%, HPQ shares were up by 0.12% on Monday.