Document management company Litera Microsystems is acquiring Kira Systems, a leader in the contract review space, for an undisclosed amount, the companies announced Tuesday.
The private equity and venture capital firm Insight Partners — which invested $50 million into Kira in 2018 — will further its stake in Kira and become a minority investor in Litera as part of the purchase.
Kira’s machine learning-enabled analysis technology allows acquirers in M&A transactions to analyze a larger array of a target’s many contracts more efficiently during due diligence, helping to mitigate risk and expenses, Litera CEO Avaneesh Marwaha told Bloomberg Law.
About 15,000 law firms worldwide are clients of Litera, including each of the top 500 by revenue, according to Marwaha.
Incorporating Kira will aid Litera by helping its clients “de-risk the process,” he said. “We want to be the brand that law firms look to to solve problems.”
Litera has been on a growth spurt of late, making 11 other legal tech company acquisitions in just over the last two years. That’s helped the company increase its revenue from about $16 million in 2016 to an expected $200 million in 2021, Marwaha said.