Acquisition will enable Pivotree to scale data management services and add new capabilities
Pivotree Inc. (TSXV: PVT) (“Pivotree” or the “Company“), a leading provider of frictionless commerce solutions, is pleased to announce that it has entered into a definitive agreement (the “Transaction”) to acquire Codifyd, Inc. (“Codifyd“), a leading Data Services and Master Data Management firm. The acquisition will scale and enhance Pivotree’s capability in the data management business as a foundational component of the company’s frictionless commerce strategy.
With the acquisition of Codifyd, Pivotree will rapidly scale its existing multi-domain MDM practice. It will also bring additional capabilities to market, empowering leading brands to efficiently acquire, manage and enhance data across all channels to enable trusted frictionless experiences for consumers.
The expanded data management strategy capability will enable Pivotree customers to leverage their data to achieve digital transformation objectives. With the addition of the content service practice, customers will also benefit from data optimization to deliver exceptional customer experiences in digital commerce.
“This acquisition aligns perfectly to our vision of delivering frictionless commerce solutions to our customers and to our growth strategy by adding instant scale and increasing market share within this set of core capabilities,” said Bill Di Nardo, CEO of Pivotree. “Codifyd brings deep domain expertise and a complementary customer base of top retailers, distributors and manufacturers. We are thrilled to welcome the Codifyd team under the Pivotree umbrella and provide our customers with expanded service and product offerings in this key category.”
“I am excited about the value our combined capabilities will bring to our customers, and how it strengthens our partner relationships. Scaling our MDM practice and adding data management strategy and content services are key to our go to market strategy. This acquisition can help our customers eliminate friction from their information supply chains making it easier for their consumers to find them, and build trust in their digital commerce ecosystem,” said Derek Corrick, General Manager, Data Management of Pivotree.
“Our combined Data Management teams bring global scale, industry credibility, and domain knowledge that is unparalleled in our industry. It gives us the ability to deliver complete eCommerce solutions spanning Strategy, eCommerce fulfillment, MDM and Clean Data to power eCommerce. With Pivotree we found a partner who shares our vision for the future of frictionless commerce, and will help us deliver additional capabilities globally that our customers and partners value,” Sanjay Agarwal, Founder & CEO of Codifyd.
Codifyd was founded in 2000 and is headquartered in Chicago, IL with regional offices and an experienced global delivery team of over 150 professionals, located in both the UK and India. Codifyd has a client base of over 400 leading brands and strong strategic partnerships with leading software companies in the Master Data Management space including: Stibo Systems, Contentserv, Informatica, EnterWorks: a Precisely Company, and Riversand: a Syndigo Company.
For the trailing twelve-month period ended September 2021, Codifyd generated revenue of USD$12.9 million and was profitable. Over the past 3 years, Codifyd has delivered a compound annual growth rate (CAGR) of 14% on total revenue, and grew 31% year-over-year for the trailing twelve-month period ending September 2021.
Transaction Details:
Under the terms of the Transaction, a total purchase consideration of USD$12.0 million of cash will be paid in connection with the closing of the Transaction. In addition, the sellers may be entitled to receive an additional earn-out payment subject to the satisfaction of certain net revenue targets for the 2021 fiscal year, ending December 31, 2021.
The Transaction is expected to close within the next 10-14 days, subject to satisfaction of all conditions of closing, including receipt of applicable third-party approvals.
For more such updates and perspectives around Digital Innovation, IoT, Data Infrastructure, AI & Cybersecurity, go to AI-Techpark.com.
