Perceptive Software Sale Results in Undisclosed Number of Layoffs

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An undisclosed number of employees at Perceptive Software in Lenexa, Kansas were recently given pink slips following Lexmark International Inc’s sale of its Perceptive Software operations.

On July 10, Thoma Bravo, LLC, a private investment firm with offices in San Francisco and Chicago, completed the acquisition of Lexmark’s enterprise software business, which is made up of Kofax, ReadSoft, and Perceptive.

Thoma Bravo combined ReadSoft and Kofax under the Kofax name and sent the newly acquired Perceptive Software operations to Cleveland-based Hyland Software Inc., another Thoma Bravo company.

The acquisition gave Thoma Bravo Perceptive’s product line and 700 employees, including the 300 based in Lenexa. The company declined to say how many “employee separations” took place or how many people worked for Perceptive Software in Lenexa before the cuts.

The job cuts in Lenexa are part of a 10% layoff at Perceptive Software and Kofax. In an email sent to employees of those companies on July 10, Kofax CEO Reynolds C. Bish said, “Unfortunately, despite our enthusiasm for the future, we still have challenges, including the need to rightsize both the Perceptive and Kofax businesses. After collaborating with Hyland’s executive management team, we have today initiated a significant reduction in force across all functional areas in both businesses on a global basis.”

While Bish did not say how many jobs were going to be cut in the e-mail, the Kofax human resources department said in a message to employees being jettisoned that personal would not be meeting with them individually because of “the number of employees affected by the redundancy.”

At one point, Perceptive Software employed more than 700 at its Lenexa facility. By April 2016, the number had declined to around 500.

Back in January, Lexmark International said it was laying off 320 members of its software business employees, a unit that includes its Lenexa operations. Lexmark had discussed job cuts in early 2016.

Lexington, Kentucky-based Lexmark bought Perceptive Software in 2010 for $280.0 million. In 2015, it acquired rival Kofax Ltd, in a transaction valued at $1.0 billion.

In 2016, Lexmark was acquired by a Chinese consortium of investors in a transaction valued at $3.6 billion.

Sources:

Perceptive Software sale triggers layoffs in Lenexa, though no one says how many,” The Kansas City Star, July 24, 2017.

Thoma Bravo Completes Acquisition of Lexmark’s Enterprise Software Business,” Thoma Bravo, LLC, July 10, 2017.

Lexmark layoffs hit Lenexa offices of former Perceptive Software,” The Kansas City Star, January 4, 2017.

Chinese consortium reaches deal to buy Lexmark,” The Kansas City Star, April 20, 2016.

Categories: Job Cuts, News

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