First the basics. Open Text has purchase Recommind, a strong player in the eDiscovery space. This is Open Text’s second significant acquisition in the past few months, the other being when Open Text purchased some customer experience software components from HP including Interwoven and MediaBin. We knew more acquisitions were coming after they then announced that they were raising $600 million and are planning to spend upwards of $3 billion on acquisitions over the next five years.
Yep, the old Open Text is back. They are buying Recommind for only $163 million, meaning they have more money. Before we discuss the elephant in the room, let’s look at what this acquisition means for Open Text.