Upland Software acquires Objectif Lune to expand its global library of document workflow products

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Upland Software announced the acquisition of Objectif Lune Inc., a provider of enterprise document composition and business communications automation software.

With the addition of Objectif Lune, Upland expands its global library of document workflow products by adding the ability to modernize complex paper documents for high volume print production as well as automated web delivery, email and mobile platforms.

“We have a long history of investing in the document workflow category and with Objectif Lune we can further support the document lifecycle for our clients,” said Jack McDonald, President and CEO of Upland. “This means we can help businesses produce more sophisticated paper documents where they are still needed, replace paper with digital delivery when desired, and enable the digital transformation of documents without requiring companies to modify their existing systems.” . “

As the business world becomes increasingly digital, many global companies still have to produce paper documents, either due to customer demand or to meet regulatory requirements. The challenge, however, for many businesses is that they must find a way to compose, automate, and exchange documents based on the content of their existing back-office systems to produce interactive business communications, while still maintaining compliance and reducing production costs.

“Objectif Lune was born out of the idea that there had to be a better way to support paper-based business communications in the modern world while still maintaining support for existing business systems,” said Didier Gombert, CEO and co-founder of Objectif Lune. “Upland not only supports our mission, but accelerates it because of the scale of its library of document workflow products, its experience in delivering documents via the cloud, and the value delivered by its partner channels. “

Upland’s document workflow products, which include AccuRoute, FileBound, InterFAX and Upland Intelligent Capture, improve productivity and reduce costs by enabling digital transformation for businesses of all sizes in industries such as healthcare, services finance, law, government and education.

Commercial outlook

The purchase price paid for Objectif Lune and related entities (including the assets of a reseller in the United States) was $ 29.0 million in cash at closing (net of cash acquired), paid out of cash on hand, and a cash holdback of $ 5.3 million payable over twelve months (subject to claims).

Upland expects the acquisition to generate annual revenue of at least $ 13.0 million, including at least $ 12.0 million of recurring revenue, and will be subject to reductions in the revenue rebate. deferred due to accounting for purchases under GAAP currently estimated at $ 4.0 million for the remainder of 2022. and $ 1.0 million for 2023. The price paid for the acquisition is within the target range of ‘Upland from 5 to 8 times the pro forma Adjusted EBITDA and it is expected that Objectif Lune will generate at least $ 5.2 million in Adjusted EBITDA annually when fully integrated.

The acquisition will be immediately accretive to Adjusted EBITDA per share of Upland, contributing at least $ 0.3 million of Adjusted EBITDA during the quarter ended March 31, 2022 and at least $ 2.6 million of Adjusted EBITDA. for the full year 2022, increasing quarterly as the acquisition is integrated. in the model throughout the calendar year.

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