E2Open To Acquire Amber Road For $425 Million
Software vendor E2open LLC will acquire the global trade management software provider Amber Road (NYSE: AMBR) for $425 million and take it private, E2open announced on May 13.
The acquisition will allow customers to operate their entire end-to-end supply chain – from sourcing to manufacturing to trade management to logistics and distribution to omni-channel operations – from one place in the cloud.
The two parties expect the transaction to close before the end of the third quarter of fiscal year 2019, pending customary closing conditions and approval by antitrust regulators.
Once the deal has closed, Amber Road stock will no longer be traded on the New York Stock Exchange.
Amber Road produces a GTM platform that helps companies digitize their supply chains with solutions across sourcing, global logistics and trade compliance, featuring the firm's Global Knowledge product, a repository of global trade rules and regulations across 170 countries.
"The combination of E2open's supply chain and logistics technologies with Amber Road's global trade management platform will... allow customers to more fully digitize their operations and better compete in global markets," Amber Road CEO James Preuninger said in a release.
Austin, Texas-based E2open provides a networked supply chain solution, featuring a broad portfolio of applications that enable complex supply chains to better plan, collaborate and execute their end-to-end operations, the company stated.
According to E2open, acquiring Amber Road will extend that portfolio in five ways, by adding: trade content information services to improve sourcing decisions and lower costs; trade management solutions to automate import and export processes; duty deferral and free trade agreement management solutions to improve margins; sourcing solutions for brand companies in the apparel and footwear industries; and a network of global trade partners with customs filing capabilities.
"In joining forces we envision a solution suite with accelerated innovation to connect, streamline and operate all aspects of global sourcing, manufacturing, logistics, distribution, trade and compliance, resulting in immediate benefits for all stakeholders," said Michael Farlekas, President and Chief Executive Officer of E2open.
"We believe combining Amber Road's advanced trade management and supply chain capabilities with E2open's end-to-end networked supply chain solutions will further improve margins, lower risks and drive operational flexibility and efficiency for our customers," Farlekas stated.
Following news of the acquisition on May 13, shares of Amber Road traded up more than 25 percent.
Image sourced from Pixabay
The post E2Open to acquire Amber Road for $425 million appeared first on FreightWaves.
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