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OpenText finalizes GXS acquisition deal

OpenText finalizes GXS acquisition deal 

The total purchase price for the acquisition was $1.065 billion, with $265 million paid in cash and $800 million in debt, as well as 1,297,521 OpenText common shares.

OpenText foresees that the combination of B2B and information management services will be huge in the coming years.

“We’re very, very excited about the acquisition of GXS,” said Kevin Cochrane, CMO, OpenText. “OpenText, over the course of the past two years, has been on a mission to reinvent enterprise software around EIM.”

Cochrane says that EIM will be the next platform CIOs use to implement new digital strategies to transform their enterprises for the digital workplace, buyer, supply chain, and compliance. To help its clients transform their workplaces, OpenText needs the products and services that GXS is bringing on board.

“We think organizations that truly want to become digital enterprises and transform every line of business need to comprehensively manage the flow of information, both structured and unstructured, to accelerate time to innovation, time to market, time to revenue, time to customer satisfaction, and time to compliance,” said Cochrane. “What GXS brings to us is the completion of the information exchange suite. Our information exchange suite, with GXS, is the world leader in B2B integration enabling the secure, efficient exchange of information to facilitate smarter transactions and to optimize the digital supply chain.”

GXS brings with it a worldwide trading grid that, combined with OpenText, will support 550,000 individuals, and upon which OpenText will conduct over 16 billion transactions per year. Additionally, GXS has 40 data centres based in 20 countries around the world, which already serve clients in over 60 countries.

It also brings almost over 2,000 IT professionals who are dedicated to helping businesses across the world optimize critical IT functions, such as the supply chain.

“We’re still working on the roadmap,” said Cochrane of what OpenText sees in its future. “We look to leverage GXS and its 2,000 professionals to move our entire software stack into the cloud. With 2,000 professionals, enterprises around the globe can outsource not only their supply chain operations, but all aspects of digital marketing and more. Let’s employ those 2,000 people to sit down with our customers and get them onto the OpenText cloud and help them do more things more quickly.”

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