Shares of Kofax Ltd. (KFX) soared nearly 46% at the start of trading on Wednesday morning, after the company announced it will be acquired by Lexmark International Inc. (LXK).
Under the terms of the merger agreement, Lexmark will acquire all of the outstanding shares of Kofax for $11.00 per share in cash for a total enterprise value of approximately $1 billion. The addition of Kofax “immediately enhances Lexmark’s industry-leading enterprise content management and business process management offerings,” Kofax said in a statement.
“We believe joining forces with Lexmark benefits our customers, partners, employees and shareholders and the merger will build on Kofax’s rich history of continuous innovation,” said Kofax CEO Reynolds C. Bish. “Our market-leading ability to simplify and transform the First Mile™ of customer engagement is a strong complement to Perceptive Software’s strength in managing information across silos. As a result, we’re excited about the future and working together to realize the full potential of this opportunity to the benefit of all stakeholders.”
KFX shares recently gained $3.43 to $10.93. In the past 52 weeks, shares of Irvine, California-based company have traded between a low of $5.65 and a high of $10.94. Shares are up 38% year-over-year and 56% year-to-date.