Descartes Acquires BearWare, Inc. [IT]
Descartes Systems Group announced that it has acquired BearWare, Inc. ("BearWare"), a leading US-based provider of mobile solutions to improve collaboration between retailers and their logistics service providers.
For over 25 years, BearWare has been helping retailers and their logistics service providers collaborate on store shipments. BearWare's system leverages mobile technologies to scan cartons at each point from the distribution centers through to the store front. This carton-level tracking complements shipment-level tracking and helps pro-actively identify potential inventory replenishment for each store, reduces theft and claims for lost cartons, and streamlines shipment payment. It also supports pool distribution, which helps retailers to reduce logistics costs and minimize store disruptions by eliminating unconsolidated direct shipments from suppliers and retailer distribution centers into the stores. The BearWare system is being used by leading retailers, including L Brands, Restoration Hardware and GNC to save money, support loss prevention programs and improve delivery operations effectiveness.
"Traditional retail distribution systems are not set up to handle plan versus actual tracking at the carton level," said Ken Wood, Executive Vice President Product Management at Descartes. "BearWare's platform and team of domain experts is unique in the market, helping its customers track more than 120 million cartons a year. The combination complements Descartes' recent investment in Airclic and further strengthens our Routing, Mobile and Telematics platform."
"Omni-channel retailing is putting tremendous pressure on retailers to leverage their assets more effectively and be responsive to the market," said Edward J. Ryan, Descartes' CEO. "The BearWare solution provides retailers with another way to move their goods efficiently through the supply chain to help ensure that they have the right goods, in the right location, at the right time and for the lowest cost."
BearWare is headquartered in Cleveland, Ohio. The purchase price for the acquisition was approximately US $11.25 million which was satisfied in cash. Descartes intends to provide further information relating to the acquisition in its public conference call relating to its second quarter fiscal 2016 (Q2FY16) financial results, currently anticipated to be in early September 2015. The acquisition is not expected to contribute materially to Descartes' revenues or Adjusted EBITDA for Q2FY16.
Posted at 16:21