Insight Venture Partners acquires E2open, CDM Software Solutions begins using Descartes’ Global Logistics Network, and Loginno installs Smart Container solutions with Hai Hua and SITC
The supply chain connectivity software provider E2open was acquired last week by the private equity firm Insight Venture Partners for $273 million.
The all-cash deal takes E2open and its collaborative cloud-based environment for suppliers off the public market – the company went public in 2012 – where it had largely underperformed despite revenue and earnings holding relatively firm.
According to the procurement website Spend Matters, E2open’s stock price had dropped from $30 per share a year ago to $5 per share in January. Spend Matters’ Pierre Mitchell wrote that Insight likely sees value in E2open’s depressed price relative to more over-valued peer software firms. Insight also has previous experience in the supply chain and procurement spaces, having invested in software companies that are now part of SAP’s and JDA’s procurement offerings.
E2open has a long-standing partnership with Oracle as a cloud-based connectivity platform, as detailed by American Shipper in September.
CDM Software Solutions, a provider of cloud-based operations and asset tracking software for freight forwarders, export packers, exporters and other logistics services providers, has begun using Descartes’ Global Logistics Network to provide its customers with air cargo connectivity and messaging services.
“The ability to electronically exchange air waybills, house bills and status messages enables our customers to further automate and streamline processes, meet expanding carrier electronic communications requirements, increase visibility and improve performance,” said Darrell Ortiz, chief executive officer and founder of CDM.
Ortiz added that the GLN also provides CDM’s users with connectivity to air carriers to help them meet the International Air Transport Association’s electronic air waybill initiative, which aims to eliminate the majority of paper-based air waybills by 2016.
Descartes said the GLN allows CDM to provide real-time shipment status monitoring and reduce transportation costs by minimizing carrier charges for security and documentation services.
The Israel-based technology developer Loginno is providing two container lines in Asia with devices to track their fleets of containers.
Loginno will install its Smart Container solutions with Hai Hua, the container shipping arm of the Shanghai International Port Group, and Hong Kong-based SITC Shipping Group.
The devices, according to Loginno Chief Technology Officer Amit Aflalo, are “small enough, inconspicuous, inexpensive, easy to install, performs all needed functions including 6-sided container protection and will last throughout the container’s lifetime with no recharge.”
SITC President Xue MingYuan said the technology allows “full insight into (our customers’) cargo movements and security, for a very low additional cost. We differentiate ourselves instantly, and hopefully save our customers a lot of logistic costs in their supply chain.”
