Supply chain management software provider E2open has announced the acquisition of Logistyx Technologies, a provider of parcel shipping and fulfilment technology, as it looks to become the world’s most comprehensive and integrated shipping solutions provider.
The US$185 million acquisition will see E2open, which was founded in 2000 in the US, enhance its global footprint for multi-carrier e-commerce shipment management. The combination adds a carrier library of over 550 global carrier integrations including UPS, FedEx, DHL, and USPS, to E2open’s network.
E2open is a business-to-business provider of cloud-based supply chain management technology and services. According to the company, it aims to create a more connected and intelligent supply chain by using data from customers, distribution channels, suppliers, and logistics partners to drive smarter decisions. Data is delivered to customers in a single view, encompassing demand, supply, logistics and global trade ecosystems.
Headquartered in Chicago, US, Logistyx Technologies, meanwhile, connects retailers, manufacturers, and logistics providers to more than 550 in-network carriers with strategic parcel shipping and omnichannel fulfilment technology.
Growth through acquisitions
The Logistyx acquisition news follows E2open’s buyout of BluJay Solutions, a leading cloud-based, logistics execution platform, in May 2021. The acquisition of BluJay materially expands E2open’s supply chain execution capabilities and its network participants by nearly 25%, most specifically in transportation and logistics.
Meanwhile, the Logistyx acquisition will accelerate subscription revenue growth and unlock strategic benefits for clients, according to E2open. In calendar year 2021, Logistyx grew in line with E2open’s current growth rate and achieved approximately US$40 million in revenue.
Logistyx’s clients will also benefit from a combined portfolio that will not only expand shipping modes beyond parcel, but also enhances upstream capabilities to better orchestrate manufacturing, distribution, channel, and trade operations.
Michael Farlekas, chief executive officer at E2open, said: “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.”
