Coupa Software, a publicly traded company that helps large corporations manage their spending, announced it was acquiring Llamasoft, an 18-year-old Michigan company that helps large corporations manage their supply chains. The deal was set at $ 1.5 billion.
This year Llamasoft released its latest tool, an artificial intelligence-based platform for intelligent supply chain management. This capability, in particular, seemed to grab Coupa's attention, as she sought a supply chain application to complement her grocery management skills.
Coupa CEO and President Rob Bernshteyn says that when you combine supply chain data with Coupa expense data, a powerful combination can be produced.
"Lamasoft's deep supply chain expertise and sophisticated modeling and data science capabilities, combined with the approximately $ 2 trillion cumulative transaction spend data we have at Coupa, will provide businesses with the intelligence to pivot. on a penny, "Bernshteyn said in a statement.
Buying occurs at a time when companies are increasingly focusing on digitizing processes within the company and when supply chains can be uncertain, depending on the location of COVID hotspots at any given time.
"With uncertainty in demand on the one hand and volatility in supply on the other, companies need supply chain technology that can help them evaluate alternatives and balance trade-offs to achieve desired business results. . LLamasoft provides these capabilities with an AI-based cloud platform that enables companies to make smarter supply chain decisions, faster, "the company wrote in a statement.
Llamasoft was founded in 2002 in Ann Arbor, Michigan and has raised over $ 56 million, according to data from Crunchbase. Its biggest increase was $ 50 million in Series B in 2015 led by Goldman Sachs.
The company has generated more than $ 100 million in revenue and has 650 large customers including Boeing, DHL, Kimberly-Clark and GM, according to company data.
Coupa has been extremely acquisitive over the years, buying 17 companies, according to data from Crunchbase. This agreement represents the fourth acquisition this year for the company. So far the stock market is not in love with the takeover with the company's share price down 5.20% upon publication.