Descartes Acquires Sellercloud
Descartes Systems Group (TSX:DSG, Nasdaq:DSGX) announced its acquisition of Sellercloud, a US-based provider of omnichannel ecommerce solutions. Sellercloud's Inventory Management Solutions (IMS) and Order Management Solutions (OMS) assist small and mid-market retailers, distributors, wholesalers, and manufacturers in synchronizing and managing inventory across multiple sales channels. The acquisition, valued at approximately $110 million with an additional performance-based earn-out up to $20 million, aims to enhance Descartes' ecommerce suite by integrating advanced inventory and order management capabilities. Descartes' CEO, Edward J. Ryan, emphasized that Sellercloud complements their existing investments in ecommerce solutions like XPS, ShipRush, pixi, and Peoplevox. The acquisition is expected to provide a comprehensive solution for managing domestic and cross-border ecommerce shipments.
Il gruppo Descartes Systems (TSX:DSG, Nasdaq:DSGX) ha annunciato l'acquisizione di Sellercloud, un fornitore statunitense di soluzioni ecommerce omnicanale. Le soluzioni di gestione dell'inventario (IMS) e di gestione degli ordini (OMS) di Sellercloud aiutano i rivenditori, i distributori, i grossisti e i produttori di piccole e medie dimensioni a sincronizzare e gestire l'inventario attraverso più canali di vendita. L'acquisizione, valutata circa 110 milioni di dollari con un ulteriore guadagno potenziale legato alla performance fino a 20 milioni, mira a migliorare la suite ecommerce di Descartes integrando funzionalità avanzate di gestione dell'inventario e degli ordini. Il CEO di Descartes, Edward J. Ryan, ha sottolineato che Sellercloud completa i loro investimenti esistenti in soluzioni ecommerce come XPS, ShipRush, pixi e Peoplevox. Si prevede che l'acquisizione fornisca una soluzione completa per la gestione delle spedizioni ecommerce nazionali e transfrontaliere.
El grupo Descartes Systems (TSX:DSG, Nasdaq:DSGX) anunció su adquisición de Sellercloud, un proveedor estadounidense de soluciones de comercio electrónico omnicanal. Las soluciones de gestión de inventarios (IMS) y de gestión de pedidos (OMS) de Sellercloud ayudan a minoristas, distribuidores, mayoristas y fabricantes de pequeñas y medianas empresas a sincronizar y gestionar el inventario a través de múltiples canales de venta. La adquisición, valorada en aproximadamente 110 millones de dólares con un posible rendimiento adicional basado en el desempeño de hasta 20 millones, tiene como objetivo mejorar la suite de comercio electrónico de Descartes al integrar capacidades avanzadas de gestión de inventarios y pedidos. El CEO de Descartes, Edward J. Ryan, enfatizó que Sellercloud complementa sus inversiones existentes en soluciones de comercio electrónico como XPS, ShipRush, pixi y Peoplevox. Se espera que la adquisición proporcione una solución integral para la gestión de envíos de comercio electrónico dentro y fuera de las fronteras.
데카르트 시스템 그룹 (TSX:DSG, 나스닥:DSGX)은 미국 기반의 옴니채널 전자상거래 솔루션 제공업체인 셀러클라우드(Sellercloud)를 인수했다고 발표했습니다. 셀러클라우드의 재고 관리 솔루션(IMS) 및 주문 관리 솔루션(OMS)은 중소 및 중형 소매업체, 유통업체, 도매업체 및 제조업체가 여러 판매 채널에서 재고를 동기화하고 관리하는 데 도움을 줍니다. 이번 인수는 약 1억 1천만 달러로 평가되며, 최대 2천만 달러의 성과 기반 추가 수익이 포함되어 있습니다. 이는 재고 및 주문 관리 기능을 통합하여 데카르트의 전자상거래 스위트를 강화하는 것을 목표로 합니다. 데카르트의 CEO 에드워드 J. 라이언(Edward J. Ryan)은 셀러클라우드가 XPS, ShipRush, pixi, Peoplevox와 같은 기존 전자상거래 솔루션에 대한 투자를 보완한다고 강조했습니다. 이번 인수는 국내 및 해외 전자상거래 배송 관리를 위한 종합 솔루션을 제공할 것으로 예상됩니다.
Le groupe Descartes Systems (TSX:DSG, Nasdaq:DSGX) a annoncé son acquisition de Sellercloud, un fournisseur américain de solutions de commerce électronique omnicanal. Les solutions de gestion des stocks (IMS) et de gestion des commandes (OMS) de Sellercloud aident les détaillants, distributeurs, grossistes et fabricants de petite et moyenne taille à synchroniser et gérer leur inventaire sur plusieurs canaux de vente. L'acquisition, évaluée à environ 110 millions de dollars avec un complément de performance allant jusqu'à 20 millions de dollars, vise à améliorer la suite de commerce électronique de Descartes en intégrant des capacités avancées de gestion des stocks et des commandes. Le PDG de Descartes, Edward J. Ryan, a souligné que Sellercloud complète leurs investissements existants dans des solutions de commerce électronique comme XPS, ShipRush, pixi et Peoplevox. Cette acquisition devrait fournir une solution complète pour la gestion des expéditions de commerce électronique nationales et transfrontalières.
Die Descartes Systems Group (TSX:DSG, Nasdaq:DSGX) gab die Übernahme von Sellercloud bekannt, einem US-amerikanischen Anbieter von Omnichannel-E-Commerce-Lösungen. Die Bestandsmanagementlösungen (IMS) und Order-Management-Lösungen (OMS) von Sellercloud unterstützen kleine und mittelständische Einzelhändler, Distributoren, Großhändler und Hersteller dabei, Bestände über mehrere Vertriebskanäle zu synchronisieren und zu verwalten. Die Übernahme, die auf etwa 110 Millionen Dollar geschätzt wird und eine leistungsabhängige Zusatzvergütung von bis zu 20 Millionen Dollar umfasst, zielt darauf ab, das E-Commerce-Portfolio von Descartes durch die Integration fortschrittlicher Funktionen in der Bestands- und Auftragsverwaltung zu verbessern. Der CEO von Descartes, Edward J. Ryan, betonte, dass Sellercloud ihre bestehenden Investitionen in E-Commerce-Lösungen wie XPS, ShipRush, pixi und Peoplevox ergänzt. Die Übernahme wird voraussichtlich eine umfassende Lösung zur Verwaltung nationaler und grenzüberschreitender E-Commerce-Versendungen bieten.
- Descartes acquired Sellercloud for $110 million, expanding its ecommerce capabilities.
- Sellercloud's IMS and OMS will enhance Descartes' product suite, meeting customer demands.
- Potential performance-based earn-out up to $20 million, incentivizing revenue growth.
- The acquisition involves a significant upfront cash payment of $110 million, impacting liquidity.
Insights
The acquisition of Sellercloud by Descartes Systems Group for
Key financial implications include:
- Immediate cash outlay of
$110 million from existing resources, impacting Descartes' liquidity position - Potential for
$20 million additional payment based on performance targets over two years - Expansion of Descartes' market share in the growing ecommerce sector
- Potential for increased revenue streams and cross-selling opportunities
While the acquisition price seems substantial, it could be justified if Sellercloud's technology and customer base significantly enhance Descartes' competitive position in the ecommerce solutions market. Investors should monitor the integration process and the achievement of revenue targets to assess the deal's long-term value creation potential.
Descartes' acquisition of Sellercloud is a strategic move to bolster its ecommerce capabilities. The integration of Sellercloud's Inventory Management Solutions and Order Management Solutions (IMS/OMS) into Descartes' existing suite creates a more comprehensive offering for ecommerce businesses of all sizes.
Key technological advantages include:
- Enhanced multi-channel inventory synchronization and management
- Improved order routing and fulfillment orchestration
- Seamless integration with Descartes' shipping, fulfillment and warehouse management solutions
This acquisition positions Descartes to offer end-to-end ecommerce logistics solutions, from inventory planning to last-mile delivery. The combined technology stack should appeal to a broader range of customers, from startups to global enterprises, potentially driving market share growth and customer retention. The challenge will be in successfully integrating Sellercloud's technology with Descartes' existing systems to deliver a truly unified and efficient platform for customers.
Adds Inventory Management and Order Management Capabilities to Descartes’ Ecommerce Suite
WATERLOO, Ontario and ATLANTA, Oct. 14, 2024 (GLOBE NEWSWIRE) -- Descartes Systems Group (TSX:DSG) (Nasdaq:DSGX), the global leader in uniting logistics-intensive businesses in commerce, announced that it has acquired Sellercloud, a leading provider of omnichannel ecommerce solutions.
Based in the US, Sellercloud supports small and mid-market retailers, distributors, wholesalers, and manufacturers with multi-channel ecommerce operations. Sellercloud’s Inventory Management Solutions and Order Management Solutions (IMS/OMS) help customers synchronize, plan and manage inventory levels across multiple sales channels. In addition, Sellercloud helps product sellers orchestrate the fulfillment process from routing orders to the right warehouse to enabling warehouse staff to better manage order picking, packing, shipping, and returns.
“Our integrated ecommerce solutions are designed to help product sellers through all phases of their growth, from a single product startup to a global multi-channel enterprise,” said Mikel Richardson, General Manager of ecommerce at Descartes. “Sellercloud expands our product suite with advanced inventory and order management capabilities that our customers have been asking for. When combined with Descartes’ existing ecommerce shipping, fulfilment and warehouse management solutions, we believe the result is a truly differentiated offering to manage the full lifecycle of domestic and cross-border ecommerce shipments.”
“We continue to listen to our customers for key areas of investment in our Global Logistics Network,” said Edward J. Ryan, Descartes’ CEO. “Sellercloud directly complements our ecommerce investments in XPS, ShipRush, pixi, and Peoplevox, and we’re excited to welcome the Sellercloud employees, customers and partners into the Descartes family.”
Sellercloud is headquartered in New Jersey. Descartes acquired Sellercloud for up-front consideration of approximately US
About Descartes Systems Group
Descartes is the global leader in providing on-demand, software-as-a-service solutions focused on improving the productivity, security, and sustainability of logistics-intensive businesses. Customers use our modular, software-as-a-service solutions to route, track and help improve the safety, performance and compliance of delivery resources; plan, allocate and execute shipments; rate, audit and pay transportation invoices; access global trade data; file customs and security documents for imports and exports; and complete numerous other logistics processes by participating in the world's largest, collaborative multimodal logistics community. Our headquarters are in Waterloo, Ontario, Canada and we have offices and partners around the world. Learn more at www.descartes.com, and connect with us on LinkedIn and X (Twitter).
Descartes Investor Contact
Laurie McCauley
(519) 746-2969
investor@descartes.com
Cautionary Statement Regarding Forward-Looking Statements
This release contains forward-looking information within the meaning of applicable securities laws ("forward-looking statements") that relate to Descartes' acquisition of Sellercloud and its solution offerings; the potential to provide customers with omnichannel ecommerce solutions including inventory management and order management solutions; other potential benefits derived from the acquisition and Sellercloud’s solution offerings; and other matters. Such forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements to differ materially from the anticipated results, performance or achievements or developments expressed or implied by such forward-looking statements. Such factors include, but are not limited to, the expected future performance of the Sellercloud business based on its historical and projected performance as well as the factors and assumptions discussed in the section entitled, "Certain Factors That May Affect Future Results" in documents filed with the Securities and Exchange Commission, the Ontario Securities Commission and other securities commissions across Canada including Descartes’ most recently filed management's discussion and analysis. If any such risks actually occur, they could materially adversely affect our business, financial condition or results of operations. In that case, the trading price of our common shares could decline, perhaps materially. Readers are cautioned not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. Forward-looking statements are provided for the purposes of providing information about management's current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law.
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