Cloud-based on-demand supply chain software provider E2open is to acquire global trade management business Amber Road in a US$425m deal that the companies say will offer comprehensive sourcing solutions for brand companies in the apparel and footwear industries.
The joint company 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.
Specifically, the addition of Amber Road’s solutions will extend E2open’s portfolio with rich trade content information services to improve sourcing decisions and lower costs; integrated trade management solutions to automate import and export processes; extensive duty deferral and free trade agreement management solutions to improve margins; comprehensive sourcing solutions for brand companies in the apparel and footwear industries; and a complementary network of global trade partners with customs filing capabilities.
“The combination of E2open’s supply chain and logistics technologies with Amber Road’s global trade management platform will also allow customers to more fully digitise their operations and better compete in global markets,” says James Preuninger, CEO of Amber Road.
Michael Farlekas, president and CEO of E2open, adds: “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. Using a combination of enterprise-class software, intelligent trade content, and a global trade network, Amber Road has transformed the manner in which companies manage global trade and established itself as the thought leader in this space. 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.”
Upon closing, Amber Road will become a privately held company.