Software giant Sage has announced it will acquire Brightpearl, which makes an operating system for retail management, for £225 million.
The deal for Brightpearl offers Sage an extra set of services to bundle with its existing accounting, financial, HR, and payroll tools for small- and medium-sized businesses.
The SaaS model used by Brightpearl also fits in easily, helping Sage expand its relationships with existing customers in the retail space.
Sage Brightpearl deal
Sage already owned 17% of Brightpearl and the acquisition will be funded by cash.
According to Sage, Brightpearl is expected to generate £20 million in revenue for 2021, up around 50% compared to the previous year, and will break even.
The ultimate goal for the combined companies is to offer a suite of tools encompassing financial management, inventory planning, sales, supplier relations, CRM, fulfilment and warehousing, and logistics in one place.
“Sage’s purpose is to knock down barriers so everyone can thrive,” says CEO Steve Hare.” Together, Sage and Brightpearl will remove the barriers that hold back retailers and wholesalers, streamlining their systems and enabling them to focus on growth.”
“We are thrilled to be joining Sage,” says Brightpearl CEO Derek O’Carroll. “Bringing our two teams together will combine the retail strength of Brightpearl and the scale, brand and financial expertise of Sage, enabling us to offer customers the most innovative financial and retail operating solutions so they can grow fearlessly, save time and deliver outstanding experiences.”
The deal is expected to close in January 2022.
- We’ve also reviewed the best HR outsourcing services around