Coupa Software Inc.
buy the supply chain planning company Llamasoft Inc. for about $1.5 billion. This is because the pandemic calls for more attention to technologies that help companies make their operations more profitable, from research to the distribution of raw materials.
The acquisition expands the supply chain capabilities of Coop of San Mateo, California, whose cloud-based enterprise software helps companies control costs. The agreement, which Coupa is expected to conclude on Monday, will be offered to customers such as BMW Group AG,
Procter and Gamble Co.
Access to Llamasoft’s artificial intelligence technology.
Llamasoft’s software helps companies model, design and optimize their supply chains using AI and algorithms to script and mitigate potential risks. Ann Arbor, Michigan, is backed by TPG Capital, a private equity fund that acquired an equity stake in 2017 and plans to
The Home Depot Inc.
among his customers.
This is the third purchase of the Coopah this year. The enterprise platform helps companies manage purchasing, invoicing, payments, procurement and other expense functions. The total costs for the customers under his administration exceed $1.95 trillion.
We have brought all these silo processes together, says Rob Bernstein, CEO of Coupa. We’re like.
The sales department,
but on the supply chain management side.
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Over time, this transaction will enable Coupa customers to redesign and replan their supply chain using Llamasoft software, and Llamasoft customers to implement supply chain solutions and manage supplier relationships using the Coupa platform, which has a network of more than 5 million suppliers.
This year’s events, including the shortage of goods – from basic household items to industrial components – amid blockages caused by corona viruses, have shown that companies need to be able to react quickly to fluctuations in supply and demand, Bernstein said. The supply chains need to be in place by 2021 and 2022, and we want to be a strategic partner for business, he said.
Disruption of the supply chain leads to increased investment in software and technology that can help companies minimise risk and avoid bottlenecks, such as building up additional inventories or adding suppliers at different locations.
Supply chain software provider E2open LLC said last month that it plans to go public by merging with a shell accounting firm that will cost E2open about $2.57 billion. In April, a private company
& Co. has invested $100 million in O9 Solutions Inc. and estimates a provider of cloud-based supply chain management software at more than $1 billion.
Write to Jennifer Smith at [email protected]
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