iText Acquisition: Key Details, Impact, and What Comes Next

Apryse's acquisition of iText marks a significant milestone in the document processing industry. By integrating iText's robust PDF libraries, Apryse aims to enhance its suite of document solutions, providing developers with more comprehensive tools. This strategic move underscores Apryse's commitment to innovation and positions it as a leading player in the digital document market.

What Is iText?

Founded in 2000, iText is a leading provider of PDF libraries for developers. Its core products include the iText PDF SDK, featuring iText Suite, iText Core, and various add-ons like pdfCalligraph and pdfHTML. iText stands out with its dual licensing model, offering both open-source and commercial options. It excels in comprehensive PDF functionality, compliance with modern standards, and blockchain integration, making it a preferred choice for enterprises and developers seeking robust PDF solutions.

Who Acquired iText?

Apryse, formerly known as PDFTron, is a prominent provider of document processing technology for developers. The company offers a range of SDKs, including Web, Server, Mobile, and Fluent, as well as end-user applications like Xodo and Xodo Sign. These tools enable document generation, conversion, viewing, editing, and signing within various applications and workflows. Trusted by over 20,000 organizations, including start-ups and Fortune 500 companies, Apryse holds a significant position in the market.

When Was iText Acquired?

Apryse acquired iText on April 5, 2022. This acquisition came at a time when the document processing industry was experiencing significant consolidation. Companies were increasingly seeking to expand their capabilities and market reach by integrating complementary technologies. The move by Apryse to incorporate iText's high-performance PDF libraries reflects a broader trend of enhancing digital document solutions to meet growing demands for comprehensive and integrated tools in the market.

Why Was iText Acquired?

• Market Expansion: The acquisition of iText by Apryse is a strategic move to expand its market presence. By integrating iText’s high-performance PDF libraries, Apryse positions itself as a leading technology provider for document processing solutions, serving millions of users and over 5,600 enterprise customers globally. This move broadens their product offerings and allows them to reach a larger customer base.
• Technology Integration: iText’s expertise in server-side processing is highly complementary to Apryse’s technology platform. The acquisition allows Apryse to leverage iText’s advanced PDF libraries to enhance its own offerings, including dynamic document viewing, annotation, processing, and conversion capabilities. This integration adds significant scale and complementary functionality for developers, making Apryse's solutions more robust and versatile.
• Competitive Advantage: The combination of Apryse and iText creates a powerful technology platform that enhances Apryse’s position as a leader in the digital document market. The acquisition accelerates growth and innovation, enabling Apryse to offer best-in-class technology solutions in a $22 billion market. Additionally, the strategic investment from Thoma Bravo and the continued partnership with Silversmith Capital Partners further strengthen Apryse’s competitive edge.

Acquisition Terms

• Acquisition Price: The acquisition price for iText by Apryse was not publicly disclosed.
• Payment Method: The payment method for the acquisition was not specified.
• Key Conditions or Agreements:  
  • The acquisition follows a strategic growth investment from Thoma Bravo in May 2021.
  • iText’s expertise in server-side processing is highly complementary to Apryse’s technology platform.
  • The acquisition resulted in iText becoming a subsidiary of Apryse.
  • Apryse asserts that deploying iText on a network without disclosing the full source code of the user's applications under the AGPL license is a legal violation.
  • PDFTron was advised on the transaction by AGC Partners and Kirkland & Ellis LLP.

Impact on iText

The acquisition of iText by Apryse has led to notable changes in operations and management. iText's CEO, Gary Fry, expressed enthusiasm about joining forces with Apryse, highlighting the potential for increased innovation and efficiency. The integration has resulted in iText becoming a subsidiary of Apryse, with a combined workforce of over 315 employees. This merger has also seen a rebranding effort, with PDFTron now operating as Apryse, reflecting its expanded product offerings and commitment to innovation.

In terms of product offerings and services, the acquisition has significantly enhanced Apryse's technology platform by incorporating iText's high-performance PDF libraries. This integration is expected to drive increased innovation and efficiency in document processing solutions, benefiting both developers and enterprise customers. While specific customer reactions are not detailed, the strategic move is anticipated to provide enhanced capabilities and improved services. Employees have shown a positive outlook, with leadership expressing excitement about the future. For founders considering business transitions, tools like Sunset can assist in managing such processes compliantly and efficiently.