North East software provider acquired by Canadian logistics firm in $12m deal
A Canadian logistics firm has announced the acquisition of a North East industrial software provider in an eight figure deal.
Descartes Systems Group, which focuses on uniting logistics-intensive businesses in commerce, acquired Gateshead based Kontainers, a provider of client-facing freight execution platforms.
Kontainers was previously owned by Cracking Logistics, and was bought for a price of $12m.
The deal was advised by Fieldfisher, which also assisted Descartes with the acquisition of Peoplevox earlier this year.
Edward J. Ryan, Descartes’ CEO, commented: “The last few months have shown how quickly the world can change, and the shift to digitisation is accelerating as a result.
“Logistics services providers (LSPs) operate on tight margins.
“Those that don’t move quickly to digitise their customer experience will be faced with higher costs to serve.”
Fieldfisher corporate partner Jonathan Brooks added: “We are delighted to have advised Descartes on two deals, one either side of the Covid-19 lockdown, and are encouraged that ambitious companies like Descartes are continuing to make acquisitions, despite the economic uncertainty ahead of us.
“Businesses with capital and strategic visions are starting to move to future-proof themselves against the potential challenges faced by industry, and the difficulties many experienced during lockdown highlighted the importance of seamless logistics in keeping companies functioning.”
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