- Logistics and supply chain manager Descartes Systems Group (TSX:DSG) has acquired omnichannel e-commerce solutions provider Sellercloud
- Descartes acquired Sellercloud for approximately US$110 million satisfied from cash on hand, plus additional potential performance-based consideration
- The all-cash performance-based earn-out can reach up to US$20 million, contingent on the combined business meeting revenue targets during the first two years after the acquisition
- Descartes Systems Group stock last traded at C$145.46 per share
Logistics and supply chain manager Descartes Systems Group (TSX:DSG) has acquired omnichannel e-commerce solutions provider Sellercloud.
Descartes acquired Sellercloud for approximately US$110 million satisfied from cash on hand, plus additional potential performance-based consideration.
“Our integrated e-commerce solutions are designed to help product sellers through all phases of their growth, from a single product startup to a global multi-channel enterprise,” Mikel Richardson, general manager of ecommerce at Descartes said in a news release Tuesday. “Sellercloud expands our product suite with advanced inventory and order management capabilities that our customers have been asking for. When combined with Descartes’ existing e-commerce 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 e-commerce shipments.”
The all-cash performance-based earn-out can reach up to US$20 million, contingent on the combined business meeting revenue targets during the first two years after the acquisition.
Operating out of New Jersey, Sellercloud assists small and mid-market retailers, distributors, wholesalers, and manufacturers in managing multi-channel e-commerce operations. Its inventory management solutions and order management solutions enable customers to synchronize, plan and control inventory levels across various sales channels. Additionally, Sellercloud facilitates the fulfillment process by routing orders to the appropriate warehouse and helping warehouse staff efficiently handle order picking, packing, shipping and returns.
Waterloo, Ontario-based Descartes Systems Group Inc. is focused on logistics and supply chain management business processes. It provides on-demand, software-as-a-service solutions focused on improving the security and sustainability of logistics-intensive businesses.
Descartes Systems Group stock (TSX:DSG) last traded up 1.72 per cent at C$145.46 per share, and its stock has risen 30.66 per cent since the year began.
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(Top image: Sellercloud)
