08:57 AM EDT, 10/03/2025 (MT Newswires) -- RBC Capital Markets Thursday maintained Open Text ( OTEX ) 's sector perform rating and US$35 price target.

OpenText recently announced the sale of eDOCS, a non-core product line, for $163 million to NetDocuments.

eDOCS is a content management system for legal content and enables secure collaboration, access and management of sensitive documents, RBC said.

According to RBC, eDOCS generates about $30 million in annual revenue. The sale is expected to close in early 2026.

The company expects to use the proceeds to reduce leverage. RBC estimates the divestment to reduce its net debt/NTM EBITDA from 2.95x in the fourth quarter to 2.88x pro forma.

OpenText's share price gained 1.6% Thursday to $52.58 on the Toronto Stock Exchange.