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ACQUISITIONS AND DIVESTITURES | 12 Months Ended
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Jun. 30, 2026
Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract] |
ACQUISITIONS AND DIVESTITURES | ACQUISITIONS AND DIVESTITURES Fiscal 2026 Acquisitions and Divestitures The Company did not complete any material acquisitions during the year ended June 30, 2026. Divestiture of Vertica Business On May 11, 2026, the Company completed the sale of its Vertica business to Rocket Software, for $150.0 million in cash before taxes, fees and other adjustments. The results of the Vertica business were recorded and presented within our Consolidated Financial Statements during Fiscal 2026 from July 1, 2025 through May 11, 2026. In connection with the sale, a gain of $11.6 million was recorded in Other income (expense), net within our Consolidated Financial Statements for the year ended June 30, 2026. The Company has determined that the Vertica business does not constitute a component, as its operations and cash flows cannot be clearly distinguished from the rest of the Company’s operations and cash flows due to significant shared costs, therefore, the transaction does not meet the discontinued operations criteria, and the results of operations from the Vertica business are presented within Income from operations in our Consolidated Statements of Income. The Company used the proceeds from the transaction to prepay $150.0 million of the outstanding principal balance of the Acquisition Term Loan. See Note 11 “Long-Term Debt” for more information. The Company has also agreed to provide certain transition services to Rocket Software following completion of the divestiture for up to 12 months, which are included in financing activities on the Consolidated Statements of Cash Flows. These transition service costs are reimbursable by Rocket Software. For the year ended June 30, 2026, we billed Rocket Software $1.1 million under a transition services agreement (TSA). The following table presents the carrying amounts of major classes of assets and liabilities disposed of in the Vertica divestiture on May 11, 2026:
Assets |
Accounts receivable trade, net of allowance for credit losses | $ | 14,527 |
Contract assets | 5,771 |
Prepaid expenses and other current assets | 278 |
Property and equipment | 1,209 |
Operating lease right of use assets | 13 |
Long-term contract assets | 3,756 |
Goodwill | 102,323 |
Acquired intangible assets | 38,338 |
Other assets | 823 |
Total Assets held for sale | $ | 167,038 |
Liabilities |
Accounts payable and accrued liabilities | $ | 527 |
Deferred revenues | 19,388 |
Pension liability, net | 384 |
Long-term operating lease liabilities | 3 |
Long-term deferred revenues | 4,538 |
Deferred tax liabilities | 4,781 |
Total Liabilities held for sale | $ | 29,621 |
Divestiture of eDOCS Business On January 12, 2026, the Company completed the sale of its eDOCS business to NetDocuments Software, Inc. (NetDocuments), for $163.0 million in cash before taxes, fees and other adjustments. The results of the eDOCS business were recorded and presented within our Consolidated Financial Statements during Fiscal 2026 from July 1, 2025 through January 11, 2026. In connection with the sale, a gain of $64.5 million including working capital adjustments was recorded in Other income (expense), net within our Consolidated Statements of Income for the year ended June 30, 2026. The Company determined that the eDOCS business does not constitute a component, as its operations and cash flows cannot be clearly distinguished from the rest of the Company’s operations and cash flows due to significant shared costs; therefore, the transaction does not meet the discontinued operations criteria, and the results of operations from the eDOCS business are presented within Income from operations in our Consolidated Statements of Income. The Company used the proceeds from the transaction to prepay $163.0 million of the outstanding principal balance of the Acquisition Term Loan. See Note 11 “Long-Term Debt” for more information. The Company has also agreed to provide certain transition services to NetDocuments following completion of the divestiture for up to 12 months, which are included in financing activities on the Consolidated Statements of Cash Flows. These transition service costs are reimbursable by NetDocuments. For the year ended June 30, 2026, we billed NetDocuments $1.6 million under a transition services agreement (TSA). The following table presents the carrying amounts of major classes of assets and liabilities disposed of in the eDOCS divestiture on January 12, 2026:
Assets |
Accounts receivable trade, net of allowance for credit losses | $ | 4,755 |
Prepaid expenses and other current assets | 51 |
Property and equipment | 24 |
Goodwill | 91,913 |
Long-term deferred tax assets | 17,735 |
Total Assets | $ | 114,478 |
Liabilities |
Accounts payable and accrued liabilities | $ | 224 |
Deferred revenues | 15,595 |
Pension liability, net | 91 |
Total Liabilities | $ | 15,910 |
Fiscal 2025 Acquisitions and Divestitures The Company did not complete any material acquisitions or divestitures during the year ended June 30, 2025. Fiscal 2024 Acquisitions and Divestitures Fiscal 2024 Acquisitions On May 22, 2024, we acquired Pillr, a cloud native, multi-tenant Managed Detection and Response platform from Novacoast, Inc. for Managed Service Providers that includes powerful threat-hunting capabilities. In accordance with ASC Topic 805, “Business Combinations”, this acquisition was accounted for as a business combination. The results of operations of Pillr have been consolidated with those of OpenText beginning May 22, 2024. The results of Pillr are not considered to be material to our business. On August 23, 2023, we acquired all of the equity interest in KineMatik Ltd. (KineMatik), a provider of automated business process and project management solutions built on OpenText’s Content Server. In accordance with ASC Topic 805, “Business Combinations”, this acquisition was accounted for as a business combination. The results of operations of KineMatik have been consolidated with those of OpenText beginning August 24, 2023. The results are not considered to be material to our business. Divestiture of AMC Business On May 1, 2024, the Company completed the sale of its AMC business to Rocket Software for $2.275 billion in cash before taxes, fees and other adjustments. The results of the AMC business were recorded and presented within our Consolidated Financial Statements during Fiscal 2024 for the period of July 1, 2023 through April 30, 2024. In connection with the sale, a gain of $429.1 million was recorded in Other income (expense), net within our Consolidated Statements of Income for the year ended June 30, 2024. During the quarter ended December 31, 2024, working capital and other adjustments were finalized, which resulted in a payment of $11.7 million, and a decrease to the gain on the AMC Divestiture by $4.2 million. The Company determined that the AMC business did not constitute a component, as its operations and cash flows cannot be clearly distinguished from the rest of the Company’s operations and cash flows due to significant shared costs, therefore, the transaction did not meet the discontinued operations criteria, and the results of operations from the AMC business are presented within Income from operations in our Consolidated Statements of Income up to the date of disposition. The Company used the net proceeds from the transaction to prepay in full the outstanding principal balances of the Term Loan B and prepay a portion of the outstanding principal balance of the Acquisition Term Loan, as further described in Note 11 “Long-Term Debt.” The Company also agreed to provide certain transition services to Rocket Software following the completion of the divestiture for up to 24 months after the closing date of May 1, 2024, which are included in financing activities on the Consolidated Statements of Cash Flows. These transition service costs are reimbursable by Rocket Software. For Fiscal 2025, we billed Rocket Software $31.6 million under the Transition Services Agreement. The transition services were completed as of June 30, 2025. The finalization of working capital and other adjustments during the quarter ended December 31, 2024, resulted in immaterial changes to the carrying amounts of major classes of assets and liabilities. The following table presents the carrying amounts of major classes of assets and liabilities disposed of in the AMC Divestiture as of April 30, 2024:
AMC Assets |
Accounts receivable trade, net of allowance for credit losses | $ | 58,733 |
Contract assets | 10,355 |
Prepaid expenses and other current assets | 6,099 |
Property and equipment | 1,091 |
Goodwill | 1,138,013 |
Acquired intangible assets | 930,771 |
Deferred tax assets | 2,820 |
Other assets | 1,775 |
Total AMC Assets | $ | 2,149,657 |
AMC Liabilities |
Accounts payable and accrued liabilities | $ | 11,312 |
Deferred revenues | 188,648 |
Long-term accrued liabilities | 8,128 |
Pension liability, net | 1,640 |
Long-term operating lease liabilities | 672 |
Long-term deferred revenues | 23,623 |
Long-term income taxes payable | 9,845 |
Deferred tax liabilities | 116,086 |
Total AMC Liabilities | $ | 359,954 |

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