Top Image Systems board recommends Kofax takeover offer

The board of capture vendor Top Image Systems (TIS) is recommending a cash takeover offer from Kofax that will see shareholders receive a hefty premium over the content processing firm’s share price.

Kofax, which is owned by private equity investment firm Thoma Bravo, is offering 86 cents for each ordinary share of Tel Aviv-based Top Image Systems, representing a 65% premium over its volume weighted average price over the past 30 trading days.

Top Image Systems counts a host of financial services firms among the clients for on-premise and cloud-based applications that optimise content-driven business processes such as procure to pay operations, remittance processing, integrated receivables, and customer response management.

Reynolds Bish, CEO, Kofax, says: “Leveraging TIS’ SaaS expertise will assist us as we further advance the secure cloud capabilities of our end-to-end Intelligent Automation platform.”

Brendan Reidy, CEO, Top Image Systems, adds: “The transaction will allow Top Image Systems to continue to provide its innovative content processing and remittance solutions to our customers while benefiting from the substantial resources of Kofax and Thoma Bravo.”

A special meeting of Top Image Systems’ stockholders to vote on the transaction is expected in early 2019, and, if the transaction is approved, the merger would close shortly thereafter.

Meanwhile, Kofax has announced the closing of its $US400 million acquisition of Nuance Document Imaging (NDI), a division of Nuance Communications, Inc. 

According to Nuance, the sale will enable it to focus the business entirely on its conversational AI- and cloud- based solutions while simplifying the organization and improving its growth profile.

Kofax says the Document Imaging division will bolster the company’s leadership in Intelligent Automation technologies.

The sale will allow Kofax the opportunity to expand its technological portfolio to include scan-to-archive, scan-to-workflow, print management and capture capability on multi-function printers (MFPs).