SSA Global Tech to Acquire EXE Tech

 
 
By Renee Boucher Ferguson  |  Posted 2003-08-18 Print this article Print
 
 
 
 
 
 
 

SSA Global Technologies announced on Monday its plans to buy the supply chain execution software developer.

SSA Global Technologies Inc. announced Monday plans to acquire supply chain execution software developer EXE Technologies Inc. SSA, of Chicago, provides enterprise resource planning software for manufacturing and the public sector. Under the terms of the agreement a subsidiary of SSA will merge into EXE, of Dallas, Texas. The cost of the transaction amounts to $7.10 a share, in cash, for all of EXEs outstanding shares.
Pending approval from shareholders, SSA expects the acquisition to close within about 75 to 100 days, when EXE will become a wholly owned subsidiary of SSA.
SSA is making the acquisition in part because of a shift in the ERP industry where companies have invested heavily in their core ERP systems and are now looking to maximize those investments by adding new functionality, according to the companys president, chairman and CEO, Mike Greenough. "IT directors are being told that they have to get better return with investments," said Greenough. "Theyve made significant amounts of investment in ERP and are looking to get more for less. Were saying no to switching [systems] – invest, [rather, companies should invest] in areas where business drivers are more important. The three big areas Greenough recognizes as opportunities for SSA include logistics, warehousing and advanced planning software that integrates systems with suppliers. EXE fits the latter two categories. EXE develops software that drives supply chain execution processes, including warehouse management, fulfillment, collaboration, inventory management and supply network execution. To fill out its ERP offerings in other areas, SSA announced in July the acquisition of Baan, a division of Invensys plc. Baan develops ERP applications for discrete manufacturers in the industrial machinery and equipment, electronics, automotive and aerospace and defense markets.
 
 
 
 
 
 
 
 
 
 
 

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