Litera Microsystems' acquisition spree continues

Litera Microsystems' acquisition spree continues

The document management company makes another legaltech acquisition with contract review solution Kira Systems

The American document management company Litera Microsystems is continuing with its acquisition policy to consolidate its position in the legaltech arena. The company has acquired AI contract review solution Kira Systems to augment its transaction management offering.

This is the 12th legaltech acquisition for the Chicago-based Litera in recent years. Under terms of the transaction, which is set to be completed for an undisclosed amount, Insight Partners, a New York-based private equity and venture capital firm which invested $50 million in Kira in 2018, will further its investment in Kira and become a minority investor in Litera.

The Toronto-Kira is a prominent contract analysis software supplier to law firms since it was founded in 2011. With its patented AI technology, Kira's software helps lawyers analyse more documents with greater efficiency and accuracy with due diligence to mitigate risk and expenses.

Over the last decade, Kira has built up an impressive client portfolio that includes more than half the Am Law 100, 18 of the top 25 ranked M&A practices, and seven of the Vault 10 firms.

According to Avaneesh Marwaha, Litera's CEO, the deal would allow the company to broaden its offering by including Kira's advanced AI workflows into its own transaction management platform, streamlining the deal management process for its 15,000-strong law firm client base.

Kira's CEO and co-founder Noah Waisberg said his company had found a perfect partner in Litera thanks to their shared view that technology can transform the contract review process.

"Litera has achieved ubiquity in the legal market for its drafting products. We believe this acquisition will ensure Kira achieves ubiquity in the due diligence review process, as well as provide a welcome home for our customers and employees," Waisberg added.

Waisberg will continue as the strategic advisor to Litera and set up a new spin-off company Zuva, which will continue to advance Kira's AI solutions for the corporate market. Kira co-founder and chief technology officer Alexander Hudek will serve as the strategic advisor and board director.