Cloud service company, Infor, has entered into an agreement to acquire Cloud-based global commerce platform, GT Nexus, for $US675 million. The deal is expected to close within 45 days, pending regulatory approval.
The acquisition will see the combination of Infor CloudSuite applications and GT Nexus. Additionally, collaborative design will be facilitated on the Infor network as will capabilities such as transmission of changes in the bill of materials from Infor’s Product Lifecycle Management (PLM) solution.
Infor will also enable the social collaboration within the supply chain on GT Nexus through Infor Ming.le. Retailers and manufacturers will also be able to leverage Infor Rhythm, Infor’s omni-channel e-commerce platform for engagement and direct order flow into the commerce Cloud.
Infor CEO, Charles Phillips, said the buyout represents the future of multi-enterprise manufacturing and commerce as increasing specialisation creates more complex supply chains that require a unifying Cloud service that are replacing monolithic ERP systems.
About 25,000 businesses rely on GT Nexus (which supplies ERP software), including logistics service providers and global financial institutions, all managing more than $100 billion in goods each year using its Cloud-based business network.
“The continued shift to contract manufacturing moves the shop floor outside of the brand owner’s ERP system to the ERP of their suppliers – many of which are existing Infor customers. It is now common for a single product to be designed, manufactured, and shipped by different companies, requiring a common Cloud for coordination,” Phillips said.
He added that together, Infor and GT Nexus will provide customers with unprecedented visibility into their supply chains to manage production and monitor goods in transit and at rest.
“In a complex, high velocity supply chain, all partners need to know what was ordered, when it was built, where it is in transit, if the order has changed, and has it cleared customs. Specialisation and speed are moving the future of manufacturing into the commerce Cloud.”
GT Nexus CEO, Sean Feeney, said the addition of Infor CloudSuite technology to the GT Nexus network will enable businesses to go further by integrating merchandising, marketing, and demand data instead of extrapolated forecasts for improved sales, operations, and production planning.
“Infor is a great home for GT Nexus, and we're excited to join forces with a company with a strong manufacturing, retail, and supply chain pedigree,” Feeney added.