Austin software firm E2open expands with $425M acquisition

Austin-based software company E2open, which provides cloud-based services for the supply chain industry, will acquire a New Jersey-based software maker for $425 million.

After completing the all-cash transaction, E2open will take East Rutherford, N.J.-based Amber Road private. Amber Road is currently traded on the New York Stock Exchange.

E2open said the deal will allow customers to operate their complete end-to-end supply chain, from sourcing to manufacturing to logistics and distribution, from one place in the cloud.

"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," said Michael Farlekas, CEO of E2Open.

Founded in 2000, E2open operates a cloud-based program for companies' supply chain management that includes real-time data from customers, channels, suppliers, contract manufacturers and partners.

E2open, which has worked with Advanced Micro Devices, Microsoft, Oracle and other global companies, has more than 200,000 customers.

Amber Road, founded in 1990, provides cloud-based global trade management software, trade content and training. The software creates a digital model of the global supply chain that enables collaboration between buyers, sellers and logistics companies.

E2open has grown through acquisitions in recent years. In November 2018, the company completed the purchase of Inttra, a New Jersey-based software maker for the ocean freight industry. Financial terms of that sale were not disclosed.

In October 2018, E2open paid an undisclosed price for Florida-based Cloud Logistics, which develops compatible software that E2open said would boost its capabilities.

E2open said it expects the transaction to close before the end of the third quarter of fiscal year 2019, pending customary closing conditions and approval by antitrust regulators.