Descartes announced Tuesday it has acquired shipment management solutions provider BoxTop Technologies for $13 million.
Headquartered in Windsor, England, BoxTop’s technology provides small and midsize logistics services providers (LSPs) digital tools to manage the full life cycle of shipments. BoxTop was already working with the Descartes Global Logistics Network (GLN) to provide customers shipment visibility and electronic customs filing capabilities.
The deal was funded with cash on hand.
“BoxTop has an excellent solution for small- to mid-sized LSPs and we see an opportunity to integrate it with more solutions on the GLN,” said Scott Sangster, general manager of logistics services providers at Descartes, in a news release. “This will help us deliver more value to BoxTop customers and expand the geographic footprint into more countries in Europe.”
This is Ontario, Canada-based Descartes’ (NASDAQ: DSGX) third acquisition of the year. It acquired trade compliance provider OCR Services in March and customs and regulatory compliance company Aerospace Software Developments in April. The two deals totaled $150 million.
Descartes generated $63.7 million in cash flow from operations in its first fiscal quarter ended April 30. It also closed the period with a $350 million line of credit that had no outstanding balance.
“LSPs will continue to play a vital role in trade in the global economy,” said Descartes CEO Ed Ryan. “As LSPs continue to digitize their operations, we want to make sure that small- to mid-size LSPs have access to the same breadth of solutions to manage the lifecycle of shipments in a secure and efficient manner.”
Descartes is a global SaaS provider of routing, tracking, invoicing and customs tools.
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