The acquisition comes at a crucial time for DocuSign, valued at about $12.5 billion, as it is said to be in the process of selling itself to a private equity firm. DocuSign CEO Allan Thygesen stated that Lexion’s technology will enable DocuSign customers to gain a “more granular” understanding of their contract structures and data, and better identify insights and potential risks. DocuSign plans to utilize Lexion’s AI models for contract creation and negotiations, while Lexion will build integrations with DocuSign’s products and solutions.
Key takeaways:
- DocuSign is acquiring Lexion, a contract workflow automation startup, for $165 million as it continues to invest in the contract management space.
- Lexion, which was incubated at the Allen Institute for Artificial Intelligence, provides tools for document creation for various departments and had raised $35.2 million in venture capital prior to the acquisition.
- DocuSign plans to use Lexion's AI models for contract creation and negotiations and Lexion will build integrations with DocuSign’s products and solutions.
- The acquisition comes as DocuSign, valued at about $12.5 billion, is reportedly exploring a sale to a private equity firm and has recently announced plans to lay off around 6% of its workforce.