WiseTech Global has completed its largest acquisition to date, finalising a deal to buy Texas-based e2Open for $US2.1 billion ($3.25 billion). The acquisition, initially announced in May, saw WiseTech agree to pay $US3.30 per share in cash for the New York-listed supply chain software company. The deal is fully debt-funded from a new syndicated facility. WiseTech Global is a leading developer and provider of software solutions to the logistics industry globally. Its flagship platform, CargoWise, enables logistics service providers to manage complex logistics operations.
According to new WiseTech chief executive Zubin Appoo, the deal is expected to “create real value” for both shareholders and customers. Appoo stated that “E2open is a strategic acquisition of a group of valuable products, with a strong customer base, extensive cloud-based network and deeply capable people and products that enable global trade and supply chain.” He further noted the acquisition significantly expands WiseTech’s total addressable global market with minimal product overlap on a global scale. e2Open provides cloud-based supply chain management software solutions. Their platform connects manufacturers, suppliers, logistics providers, and other partners to streamline operations and improve efficiency.
The acquisition of e2Open is set to bolster WiseTech’s position in the global supply chain software market. With e2Open’s established network and product offerings, WiseTech aims to offer a more comprehensive suite of solutions to its customer base, enhancing its capabilities in global trade management and supply chain optimisation.
WiseTech plans to update its guidance for the current financial year to incorporate e2Open’s financial performance. The updated guidance will be provided at the company’s upcoming results briefing, scheduled for August 27.
