E2open Buys Logistyx Technologies for $185M
March 7, 2022
has acquired Logistyx Technologies, a leader in global parcel and
e-commerce shipping and fulfillment technology.
With the combination, E2open enhances its global footprint for
multi-carrier e-commerce shipment management, offering companies a
complete range of shipping capabilities needed to scale and respond
to growing market needs.
“We are excited to welcome Logistyx Technologies’ team, clients, and
capabilities to E2open,” said Michael Farlekas, chief executive
officer at E2open. “The demand for e-commerce shipping capabilities
continues to grow as companies look for more flexible and
cost-effective ways to deliver products to consumers. This
combination makes E2open the most comprehensive and integrated
shipping solution provider, which covers all shipping modes
including ocean, air, road, rail, and parcel, and is powered by a
global network of carriers and logistics service providers. Logistyx
is complementary to E2open’s existing platform, enabling E2open’s
world-class clients to orchestrate their supply chains from demand
to fulfilment, to supply.”
“The Logistyx team is thrilled to combine with E2open to enable more
companies to ship smarter and benefit from the largest supply chain
platform and network available,” said Geoffrey Finlay, chief
executive officer at Logistyx. “We provide our customers, which
include top retailers, manufacturers and logistics providers, the
automation, visibility and flexibility needed to simplify global
fulfillment and compete in an omnichannel world – all within a
one-stop, connected platform.”
Compelling strategic benefits to accelerate growth
The Logistyx combination with E2open accelerates subscription
revenue growth and unlocks strategic benefits for clients,
reach as a global leader in transportation management for parcel
shipping: Logistyx’s global parcel system augments E2open’s
direct-to-consumer e-commerce offerings, creating a complete global
footprint for multi-carrier parcel management.
Enhanced global parcel carrier network: The combination adds a
carrier library of over 550 global carrier integrations including
UPS, FedEx, DHL and USPS, to E2open’s leading network. The solution
manages the carrier certification process to keep clients in
compliance, while making it easier to compare and review spot rate
options, which is critical in a capacity-constrained environment.
Expanded client base: E2open’s client base will be enhanced by
Logistyx’s strong global enterprise clients, which include many of
the world’s leading retailers, manufacturers, and carriers.
Augmented product offerings: Logistyx’s clients will benefit
from a combined portfolio that will not only expand shipping modes
beyond parcel, but also enhance upstream capabilities to better
orchestrate manufacturing, distribution, channel and trade
E2open acquired Logistyx Technologies for a total purchase price of
$185 million, including $90 million paid in cash at closing and the
remaining balance to be paid in two additional installments at 90
days and 180 days post-closing. E2open has the option to finance the
remaining payments through cash or a combination of cash and E2open
stock issued to sellers, at the company’s discretion.
The transaction was unanimously approved by E2open’s Board of
Directors. Additional details about the agreement will be contained
in a Current Report on a Form 8-K to be filed by E2open with the
U.S. Securities and Exchange Commission (the “SEC”).