Kofax Inc. is a management software company that has just acquired 170Systems Inc. 170 Systems Inc. builds financial process automation software. Kofax acquired 170 Systems for $32.9 million. Of the $32.9 million, about $10.1 million was paid in cash and the rest in stock options.
170 Systems is based in Boston, MA and has about 140 employees. 170 Systems is a startup backed by Polaris Ventures. Polaris invested $14 million in 170 Systems and they still had roughly $10.1 million cash in hand. 170 Systems’ revenues were about $28 million, but the company was not profitable. Kofax has roughly 1,200 employees and $300 million in annual sales.