Author Archives: pcarman

VGM Group acquires Redstone Content Solutions

 VGM Group acquires Enterprise Content Management company 

VGM Group, Inc., an employee-owned professional services company, announced its acquisition of Redstone Content Solutions LLC. This move further expands its market position as a top national professional service company and leader in providing vital Enterprise Content Management (ECM) solutions to small and medium-sized business (SMB), mid-market and enterprise companies.

The acquisition comes at a time when VGM Group is seeing increasing demand for improved customer experience solutions. Leading industry analyst firms predict that the ECM market will grow from $40.1 billion in 2020 to $66.9 billion by 2025.

“We are thrilled to be adding Redstone to the VGM family,” said VGM Group Chief Financial Officer, Jim Nygren. “We are looking forward to continuing the spectacular service Redstone is known for and help provide the team resources to do even more. A common cultural thread between VGM and Redstone is our commitment to our customers, this is and will continue to be our highest priority. Today’s strategic acquisition further equips VGM Group with expanded solution capabilities, partnerships, and scale to serve the needs of a larger portion of the industry landscape.”

Redstone is a market-leading ECM solutions provider for enterprise, mid-market and SMB customers. Since its founding in 2009, Redstone has built its reputation on customer satisfaction and successful solution and program delivery. Redstone represents leading software providers such as Oracle and DocuSign, as well as open-source providers such as Elastic, to name a few. 

With Redstone, VGM Group will further assist clients in capitalizing on the major ECM growth factors: increased need to securely organize, categorize, and structure all corporate content in a meaningful, easily explorable manner, and the rising demand of companies to deliver personalized content to the right audience through the right channels.

“Document, web content, and digital asset management solutions are a must-have for customers,” stated Redstone Co-Founder John Klein. “The global pandemic has served as a wake-up call to business leaders when it comes to the deployment of digital technology. ECM solutions mitigate the pandemic’s impact on businesses so that they are best positioned to realize opportunities. Additionally, customers need a true partner interested in mutual, long-term prosperity. Today, companies of all sizes need to know that their chosen and strategic partners share common values.”

Redstone will continue to operate under its current name and VGM Group will retain all employees. 

“Customers will receive the same impactful service that Redstone has provided for more than a decade.  On behalf of VGM’s 1000 employee owners, we welcome the Redstone team to our growing family,” said Nygren.  

Hyland enters into agreement for the acquisition of Nuxeo

Nuxeo will bring significant industry experience, product innovation to Hyland

Hyland, a leading content services provider, has signed an agreement providing for exclusive negotiations to acquire Nuxeo, a content services platform and digital asset management (DAM) provider. The transaction is expected to close in April 2021, subject to consultation of employee representative bodies and customary closing conditions.

Nuxeo offers a cloud-native, open-source, low-code platform with content services and digital asset management (DAM) capabilities, among others. Once the transaction closes, the entire Nuxeo business is expected to be managed under Hyland Software, Inc.

“This agreement reflects Hyland’s ongoing efforts to innovate our platform and expand our global footprint as the leader in cloud-based content services platforms,” said Bill Priemer, President and CEO of Hyland. “Adding Nuxeo’s services and capabilities will enable us to compete in new areas and support our customers in new ways.”

“We’ve innovated an entirely modern platform that provides both enterprise-class content services and digital asset management capabilities, and we look forward to bringing these capabilities to the Hyland portfolio as well as leveraging Hyland’s considerable global resources to deliver even greater success to our customers and partners,” said Eric Barroca, CEO of Nuxeo.

Konica Minolta Announces Leadership Changes to Support Digital Transformation Initiatives

Company Positions Leadership Team to Further Enhance Customer Experience

Konica Business Solutions U.S.A., Inc. (Konica Minolta) today announced leadership changes to support the company’s internal and customer-focused digital transformation strategy. The changes are designed to augment its Digital Experience-as-a-Service (DX-as-a-Service) and Internet of Things (IoT) strategy to add continuous value to its clients and dealer partners.

Patrick Banno, currently the Head of the IoT Business Center in the U.S., will lead the North American business as President and CEO. He is replacing Rick Taylor, who will progress to serve in an independent advisory role to ensure a seamless continuation of the company’s strategies. Patrick will be responsible for establishing the business and technology strategy to further the company’s IoT initiatives, strategic partnerships and business growth to ensure shareholder value.

Sam Errigo, currently serving as Executive Vice President, Sales and Business Development, has been promoted to Chief Operating Officer. Sam will lead the company’s strategy for operational excellence while enhancing digital agility to support a dynamically changing business environment and expansion into new markets. Sam was recently named to The Modern Sale and Collective[i]’s list of the 2021 Top 100 Global Sales Leaders.

“Konica Minolta is focused on advancing our digital transformation portfolio. Our strategic partnerships, All Covered managed IT services and enterprise content management services are key strengths within our portfolio,” said Toshimitsu Taiko, Director, Senior Vice President and Executive Officer & Lead Officer responsible for Business Technologies, Konica Minolta, Inc. “These leadership changes will enable us to continue to grow our business and position us to serve our clients more effectively with their digital transformation initiatives.”

Gimmal, a Rubicon Technology Partners Portfolio Company, Completes the Acquisitions of Infolinx and ECM Wise

Madison Park Group (“MPG”) is pleased to announce that its client, Gimmal LLC (“Gimmal”), a leading provider of records management and information governance software and solutions and a portfolio company of Rubicon Technology Partners (“Rubicon”), has acquired both ECM Wise Corp. (“ECM Wise”) and the assets related to Infolinx (“Infolinx”), a division of Spacesaver Interiors. With these acquisitions, Gimmal further extends its leadership in the information governance sector by adding the industry-leading content migration offering of ECM Wise and the robust physical records management solution of Infolinx to Gimmal’s electronic records management, content governance, document management, and file analysis capabilities.

With these acquisitions, Gimmal is well positioned to accelerate its growth and will achieve several major strategic objectives, including:

  • Adding significant product and domain expertise in content migration and physical records management
  • Expanding its market coverage in regulated vertical industries
  • Creating economies of scale while also increasing customer service capabilities
  • Offering enterprises a holistic solution to help them achieve their information governance objectives from content creation through to disposition

“We are pleased to add the capabilities of ECM Wise and Infolinx to Gimmal’s portfolio of solutions. With market-leading offerings in content migration and physical records management, both ECM Wise and Infolinx, respectively, add exciting new capabilities to the Gimmal platform and further our goal of becoming a global leader in information governance software. We worked closely with the MPG team over several months to identify high impact acquisitions which could fulfill our strategic mission. They understood our space, worked diligently to refine our strategy, and helped us execute. MPG has been a dedicated and trusted partner to Gimmal.” – Mark Johnson, Chief Executive Officer, Gimmal

“Gimmal is leading the way in the information governance sector and has the right combination of strategic vision, management execution capabilities, and financial support to unlock significant value for customers and shareholders alike. Even more impressive is the transparency and values which underlie every action that Gimmal and Rubicon undertake – they are exceptional partners that not only value integrity but also live by it. We look forward to continuing to work with the Gimmal and Rubicon teams to refine and execute Gimmal’s strategy and build an even greater company in the coming years.” – Christian Vansant, Managing Director, Madison Park

Digiscribe Announces Acquisition by MetaSource, LLC

Acquisition expands MetaSource’s offices across the United States.

New York City, New York – January 5, 2021 – Business process outsourcing provider Digiscribe announced it has been acquired by MetaSource, LLC, a Utah-based, industry-leading digital transformation solutions provider.

The acquisition provides clients of both companies with an expanded array of state-of-the-art business automation solutions and expertise at a time when a record number of businesses are struggling to transition to remote work.

“Our acquisition by such a leader in the digital transformation field ensures that our clients will be well-positioned to successfully navigate the changing markets at the pace that the pandemic has imposed on all of us and that recovery will demand,” said Digiscribe President, Mitch Taube.

Adam Östhed, President and CEO of MetaSource, agreed, noting that Digiscribe’s breadth of expertise in the digital mailroom space will facilitate enhanced BPO services, particularly in the document management area, for both companies’ clients.

“We are very excited to bring Digiscribe into the MetaSource family at a time when the mission of helping businesses streamline and digitize processes is a critical pillar of the post-pandemic recovery,” Östhed said.

The acquisition expands MetaSource’s offices across the United States, leaving the company with a total of 8 locations in Utah, Pennsylvania, California, Arizona, Colorado, Texas, and now, New York, and Massachusetts.

Xamcor, Inc. a boutique M&A firm serving the Information Management sector, served as the M&A advisor to Digiscribe for this transaction.

 

AvePoint, the Largest Microsoft 365 Data Management Solutions Provider, Announces $2bn Merger

Transaction includes a fully committed PIPE of $140 mm anchored by top-tier investors; AvePoint co-founder and current CEO Tianyi (TJ) Jiang to lead the combined company

AvePoint, Inc. (“AvePoint” or the “Company) announced today that it has entered into a definitive business combination agreement with Apex Technology Acquisition Corporation (NASDAQ: APXT), a publicly traded special purpose acquisition company (“Apex”).

Upon closing the transaction, it is expected that the combined company will be named AvePoint and will remain a publicly traded company listed on the Nasdaq Stock Market under a new ticker symbol, “AVPT.” The combined company will be led by Dr. Tianyi Jiang, AvePoint’s co-founder and CEO, and AvePoint co-founder Kai Gong will serve as Executive Chairman.

Company Overview

AvePoint is a leading global Microsoft strategic cloud partner, with solutions that drive large and mid-market customers’ digital transformation journey in the Microsoft cloud.

From its origin of two coders in a Somerset, New Jersey library, AvePoint has grown to serve the largest software-as-a-service (“SaaS”) userbase in the Microsoft 365 ecosystem with more than 7 million cloud users as of September 30, 2020 and an estimated addressable market of $33 billion by 2022 according to IDC.

The Company sells directly to large and mid-market enterprises, and its solutions are also available to managed services providers on more than 100 cloud marketplaces globally.

AvePoint expects to generate approximately $148 million in total revenue for the year ending December 31, 2020, which would be an increase of approximately 26% over 2019 revenue.

Over its nearly 20 year history, AvePoint has been first to market with many digital collaboration technologies, such as SharePoint migration, automated Microsoft Teams management, and the ability to migrate Microsoft Teams/Slack chats into the target channel.

The Company launched another first-to-market product during COVID-19–a SaaS solution to provide sensitivity-based security insights and automated policy enforcement to prevent risky oversharing in Microsoft 365. More than half of AvePoint’s workforce are technologists, including the majority of the senior leadership team.

“AvePoint provides critical data management solutions that enable organizations to make their digital collaboration systems more productive, secure and compliant. The impact of COVID-19 and the growth of Microsoft’s cloud solutions, including Microsoft 365 and Microsoft Teams, have accelerated demand for our products. And we were growing prior to COVID-19 as well. We have achieved eight quarters of impressive growth. We have positive free cash flow and are in line with the key ‘Rule of 40’ SaaS industry growth metric,” said Dr. Jiang. “Going public now gives us the ability to meet this demand and scale up faster across product innovation, channel marketing, international markets, and customer success initiatives.”

Apex is led by former Oracle CFO Jeff Epstein and former Goldman Sachs Head of Technology Investment Banking Brad Koenig. Their combined experience includes more than 100 technology IPOs and mergers involving companies such as Microsoft, Oracle and Twilio.

Mr. Epstein will join AvePoint’s Board of Directors as a director and Mr. Koenig will join AvePoint’s Board of Directors as an observer.

“We are thrilled to partner with AvePoint to help thousands of customers protect and manage their Microsoft cloud investments; Microsoft cloud is sweeping through the world’s enterprises. AvePoint is well-positioned to take advantage of this,” said Mr. Epstein. “Of over 200 public cloud companies, AvePoint is one of only five with 2020 estimated revenue in the $150 million range, 2020 estimated year-over-year growth above 25%, and 2020 estimated EBIT Margin over 10%.”

Microsoft has seen its share of the productivity and collaboration market expand to 28% according to a 2020 IDC report. AvePoint is a five-time Global Microsoft Partner of the Year and boasts one of the largest Microsoft 365 development teams outside of Microsoft itself.

“AvePoint has partnered with Microsoft closely for nearly two decades in helping organizations maximize their Microsoft investments,” said Gavriella Schuster, Corporate Vice President, One Commercial Partner, Microsoft. “AvePoint’s merger to become a public company demonstrates the power of Microsoft’s channel and the opportunity it provides our partners to flourish long-term.”

Transaction Overview

The transaction has been approved by the Board of Directors of Apex, as well as the Board of Directors of AvePoint, and is subject to the satisfaction of customary closing conditions, including the approval of the shareholders of Apex and AvePoint and the receipt of any required regulatory approvals.

In addition to the approximately $352 million held in Apex’s trust account as of September 30, 2020, assuming no redemptions by Apex’s public stockholders, the combined company will benefit from $140 million in proceeds from a group of institutional investors participating in the transaction through a committed private investment (“PIPE”).

The transaction, valuing the combined company at an equity value of approximately $2 billion on a pro forma basis after giving effect to the PIPE and assuming minimal Apex stockholder redemptions, is expected to close in the first quarter of 2021. Upon completion of the proposed transaction, existing AvePoint shareholders are expected to own approximately 72% of the combined company, which is expected to have approximately $252 million of cash on the balance sheet assuming no redemptions by Apex’s public stockholders.

Sixth Street, the global investment firm which led a $200 million growth equity investment in AvePoint in 2019, will continue as a shareholder in the combined company.

Gimmal completes acquisition of ECM Wise, expands its migration capabilities

 

Gimmal LLC has announced the acquisition of Calgary-based ECM Wise Corp, an enterprise content management solutions provider. The acquisition brings enhanced migration capabilities, now known as Gimmal Migration, to Gimmal’s existing solutions suite.

With the addition to Gimmal’s existing suite of software products, the company will offer a complete set of information governance solutions that provide the following benefits:

  • Complete lifecycle management from the creation of information to its disposition.
  • Simplified and expedited migrations from legacy systems, particularly in complex environments.
  • A team of experts trained in best practices and proven methodologies for effective and compliant information governance.
  • Streamlined processes that maximize productivity and increase cost savings.

“We are pleased to announce the addition of ECM Wise’s market-leading migration software to Gimmal’s portfolio, and welcome their team of industry experts to Gimmal,” states Gimmal CEO, Mark Johnson. “Gimmal Migration’s enhanced features will ensure our clients have all the right tools necessary to complete even the most complex migrations.”

Patrick Wong and Guy Turton, co-founders of ECM Wise, explain the acquisition as “the union of the industry’s best-in-class products that will seamlessly work together to provide the most strategic solutions for clients.”

 

Nintex Announces Agreement to Acquire K2 Software, Inc.

Nintex today announced a definitive agreement to acquire K2 Software Inc., an innovative provider of digital process automation (DPA) software solutions.

Nintex, the global standard for process management and automation, today announced a definitive agreement to acquire K2 Software Inc., an innovative provider of digital process automation (DPA) software solutions.

K2 is Nintex’s third acquisition since Thoma Bravo became the company’s majority investor in early 2018. Upon closing this transaction, Nintex will serve more than 10,000 customers including approximately 50 percent of the Fortune 500 and will generate over $200 million in annual recurring revenue, making Nintex one of the largest independent software vendors for process automation.

“We are excited to be bringing together leading innovators in the digital process automation software market,” said Nintex CEO Eric Johnson. “Upon closing, Nintex and K2 customers and partners will benefit from an even broader range of process management and automation solutions. The combination of our respective development teams will further accelerate our pace of innovation in this growing market.”

Organizations in every region of the world are saving costs and improving operations by using Nintex’s easy-to-use, powerful process platform to visually map and manage business processes with Nintex Promapp® and to accelerate digital transformation with mobile apps, digital forms, workflows, robotic process automation (RPA), document automation and eSignatures.

K2 Software, Inc. helps enterprises digitally transform faster by simplifying the creation of modern process applications and automated workflows with robust developer tools. Over 1.5 million users in more than 84 countries, including 30 percent of Fortune 100 companies, have leveraged K2 software solutions to take control of their business processes, increase visibility and improve operational efficiency. 

“We are looking forward to delivering even greater value to our K2 customers by joining forces with Nintex,” said K2 CEO and President Evan Ellis. “Combining Nintex’s solution portfolio with K2’s complementary technologies will further enhance what commercial enterprises and government agencies can achieve through the power of digital process automation.”

Industry comments on the automation market

“With Nintex’s latest acquisition announcement, the company will further enhance its position as a leading digital business platform and its role as a leader in workflow and content automation and digital transaction management,” said Aragon CEO and Lead Analyst Jim Lundy. “Nintex is demonstrating that it is built to last and one to watch in the world of process and automation.” 

“Enterprises are re-thinking their automation strategy and adding more business process assets to their portfolio,” said IDC Program VP, Integration and Process Automation, Maureen Fleming. “Our forecast for intelligent process automation will reach $30.5 billion by 2024, and we expect to see newer and simpler types of modeling, workflow and case management cloud software factor more heavily into the portfolio mix.”

“Automation remains at the heart of many current digital transformation initiatives,” said Senior Research Analyst at 451 Research, part of S&P Global Market Intelligence, Carl Lehmann. “But to industry-leading organizations, automation is more than just a means to reduce redundant and error-prone manual activities or do things faster by streamlining and reducing cycle times. Industry leaders are investing in automation initiatives that bring to bear new resources that can predict change, risk and opportunity, and/or respond to it rapidly. They seek to empower the workforce with newfound intelligence and deliver new forms of value recognized by customers as superior to rivals. When this occurs, digital transformation creates new competitive advantage.”

The transaction is subject to the completion of regulatory review and other closing conditions.  Nintex and K2 are working together to close the transaction in the coming weeks.

Deal terms will not be disclosed. 

Hyland enters definitive agreement to acquire Alfresco

Hyland, a leading content services provider, has signed a definitive agreement to acquire Alfresco, a content services platform and solutions provider. The transaction, expected to close in the fourth quarter of 2020, is subject to usual and customary closing conditions and regulatory approvals.

Headquartered in Boston, Alfresco develops a modern, cloud-native Digital Business Platform that delivers content services solutions to connect, manage and protect organizations’ most critical information. Upon transaction close, the entire Alfresco business is expected to be managed under Hyland Software, Inc.

“We continue to grow our business and advance our platform organically and via acquisitions,” said Bill Priemer, president and CEO of Hyland. “This acquisition will expand our global reach, enabling us to help more organizations achieve their digital transformation goals and become more informed, empowered and connected.”

“For 15 years Alfresco has had the vision to provide the most open, cloud native content services platform,” said Jay Bhatt, president and CEO of Alfresco. “With this acquisition Alfresco brings significant geographic and industry experience to Hyland as well as an open source community as a new source of product innovation. Both companies share the same passion for customer success and innovation and together will offer increased value for customers and partners.”

 

 

Hyland acquires RPA software provider Another Monday

Acquisition complements Hyland’s platform and rich product portfolio of automation and integration tools

Hyland, a leading content services provider, announced its acquisition of Another Monday, a German-based robotic process automation (RPA) software developer. The addition of a feature-rich, end-to-end RPA software solution that is highly configurable extends Hyland’s process automation capabilities and strengthens its content services product portfolio.

Another Monday was positioned as a Visionary by Gartner in the Magic Quadrant for Robotic Process Automation Software 2019. Its four complementary software products will enable Hyland’s customers to augment existing process automation solutions with innovative RPA functionality.

“Adding RPA to Hyland’s content services platform extends and augments our low-code process automation offerings, enabling a next level of digital transformation to all of our customers,” said Bill Priemer, president and CEO of Hyland. “We look forward to getting to know our Another Monday colleagues, welcoming our new customers and partners to the Hyland community and incorporating this powerful technology into our existing solutions.”

“The RPA market is an exciting and challenging space with rapid growth and a vast number of possible applications that organizations can easily combine and integrate for better and more flexible business processes support,” said Hans Martens, CEO of Another Monday. “We see Hyland as the best fit to embed our RPA technology into their powerful automation platform, to truly implement easy, end-to-end automation for everyone.”

Now, more than ever, organizations globally face an imperative to leverage automation tools to address business challenges as part of accelerated digital transformation initiatives. The addition of RPA technology is an integral component of Hyland’s intelligent automation strategy and a natural fit for its customer base — with broad, dynamic use cases across the industries and regions Hyland serves.

Hyland will continue to support Another Monday’s current solutions and customers as it integrates the technology into existing platform offerings.