Kana, which makes customers service software, expects the deal to close in the second quarter.
Overland Park-based eVergance was founded in 2002 by current president Chad Wolf to provide technology implementation and consulting services for customer service environments. The company has worked on over 200 customer service engagements in the US and Europe, in verticals like financial services, telco, healthcare and high-tech.
Officials at Meno Park, California-based Kana said the deal will double its own professional services team and strengthen certain practice areas including customer service strategy, application deployment support and optimization, and managed services.
Michael Fields, CEO of Kana, pointed to a 50% growth in Kana’s services business last year.
Demand for professional services is at an all time high. eVargance has a history of thought leadership in the knowledge management and Web self-services space and deep domain expertise in customer service technology and best practices, he said in a statement.
Our View
Kana seems like it is on the road to recovery after a couple of very shaky years. The company recently reported soaring license revenue (in excess of 100%) for its last reported quarter and fiscal year.
CEO Fields has focused on business basics and assembling a strong management team. The recent roll-out of a back-shoring initiative and release of the Kana 9.5 platform, which is available as both a hosted and on-premise software offering, will hold the company in good stead for the year ahead. Kana expects revenue to grow between 15-25% this year. The addition of eVargance’s staff will also help to bring in lucrative professional services dollars as well that will add to the company’s top line revenue and improve its bottom line profitability.
