WiseTech Global Ltd (ASX: WTC) shares are soaring 5.18% in pre-market trading on Monday following the announcement of a strategic acquisition. The Australian logistics software company has entered into a binding agreement to acquire US-based E2open Parent Holdings for $2.1 billion, marking its largest deal to date.
The acquisition, which is to be fully debt-funded, will see WiseTech pay $3.30 per share in cash for E2open, representing a 24.5% premium to E2open's last closing price. The deal has already received approval from E2open shareholders representing over 50% of outstanding voting shares, eliminating the need for further shareholder approval.
Investors are reacting positively to the strategic move, which is expected to significantly enhance WiseTech's software capabilities. The acquisition will add complementary solutions in supply chain planning, procurement, trade compliance, and channel management to WiseTech's flagship CargoWise platform. This expansion is anticipated to broaden WiseTech's customer base, connecting with 500,000 enterprises, including major ocean carriers and blue-chip customers. The company expects the deal to be earnings per share accretive in its first year, further boosting investor confidence.
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