Descartes Systems Group has acquired Appterra – a US-based provider of cloud-based business-to-business (B2B) supply chain integration services.
The company company struck a deal which involves a consideration of $5.8 million, plus a potential performance-based consideration.
The maximum amount payable under the all-cash performance-based earnout is $1.6 million, based on Appterra achieving revenue targets in each of the first two years post-acquisition. Any earn-out is expected to be paid in the fiscal year of 2018 and the fiscal year of 2019.
For over eight years, Appterra has worked with customers to connect electronically, automate supply chain processes, and enhance collaboration and visibility among global trading partners. It also provides B2B integration as a cloud service for its customers and helps manage and streamline a wide array of complex, mission-critical documents found in typical procure-to-pay and order-to-cash processes.
Descartes chief executive officer, Edward J Ryan says: “Our Global Logistics Network helps isolate customers from the complexities of different protocols, semantics and end-user requirements for managing and transmitting electronic supply chain data and documents.
“By adding Appterra’s technology and services to our business, our customers will have access to broader data integration capabilities for standardizing and automating buy-side and sell-side processes.
“Equally, Appterra’s customers will now join Descartes’ logistics community, presenting additional opportunities for trading partners to collect and share logistics data earlier in the business process.”