Descartes Systems Group has strengthened its cargo-tracking capabilities by acquiring CORE Transport Technologies, a New Zealand based company which provides airlines and ground handlers with electronic applications to help track cargo, mail and unit load devices (ULDs).
According to Descartes, it acquired CORE for an upfront cash payment of US$21.0 million, plus potential performance-based consideration. The maximum amount payable under the all-cash performance-based earn-out is $9.0 million, based on CORE achieving revenue-based targets in each of the first two years after the acquisition
In addition to cargo and mail tracking, CORE has developed a ULD-tracking service, which uses Bluetooth tags and readers. Data is transmitted through cellular or WiFi connections, enabling real-time visibility of ULD fleets.
“As U.S. domestic and international e-commerce continues to grow, more demands are being placed on carriers and their partners to deliver efficiently and report events in real-time,” said Ken Wood, executive vice president of product management at Descartes. “The CORE acquisition complements our recent investment in Velocity Mail, helping us to better serve the logistics service provider community working with postal authorities around the world. CORE’s solutions also extend beyond mail and parcel shipment tracking, with air cargo tracking solutions that we can add to our Global Logistics Network.
Descartes’ vMail platform was recently chosen by National Airlines to track its mail transportation around the world.
Edward J. Ryan, CEO of Descartes, said that the company will continue to look for opportunities to add customers, products and content to its Global Logistics Network to help customers manage the life cycle of shipments. “By combining with CORE, we’re strengthening our position in the growing domestic and global e-commerce market,” he said. “We’re also adding new solutions to our Descartes Global Air Messaging Gateway that we believe will present a compelling opportunity for our global air cargo community to enhance real-time tracking and visibility of air shipments.”Like This Post