WiseTech Global Acquires E2open in $1.7B Move to Expand Global Logistics Platform

About WiseTech Global Ltd

WiseTech Global Limited (ASX: WTC), a leading developer of logistics execution software, has announced the strategic acquisition of US-based supply chain software company E2open, in a move that significantly expands its service offerings and global presence.

The deal supports WiseTech’s mission to build the world’s most comprehensive global logistics platform and enhances its ability to serve enterprise customers across the entire supply chain ecosystem, from planning and procurement through to final delivery and compliance.

E2open Acquisition Overview

E2open is a cloud-based supply chain management platform with a strong presence across North America, Europe, and Asia. The company provides software solutions for demand forecasting, transportation management, trade compliance, and supplier collaboration, serving clients in industries ranging from consumer goods to manufacturing and pharmaceuticals.

Under the agreement, WiseTech will acquire E2open for an enterprise value of approximately US$1.7 billion, funded through a combination of existing cash reserves and new debt facilities. The transaction is expected to close in the second half of 2024, subject to customary regulatory approvals and closing conditions.

WiseTech noted that E2open’s scale, customer relationships, and complementary technologies made it a natural strategic fit for its global vision.

Strategic Rationale and Growth Alignment

The acquisition aligns with WiseTech’s long-term strategy of acquiring high-quality technology assets that enhance the capability, coverage, and data richness of its CargoWise platform. E2open significantly strengthens WiseTech’s functionality across several critical areas, including ocean and air freight planning and execution, international trade management and customs visibility, real-time supply chain visibility through control towers, and enterprise integration with advanced partner collaboration tools. These expanded capabilities are expected to support a more seamless and data-driven logistics experience for global customers.

With E2open’s tools and content integrated into CargoWise, WiseTech expects to deliver enhanced end-to-end functionality, enabling logistics providers, shippers, and freight forwarders to manage supply chain execution on a single platform.

Global Expansion and Revenue Synergies

E2open’s presence in North America, combined with its global client base, provides WiseTech with significant cross-sell opportunities and access to new logistics segments. The company anticipates strong revenue synergy potential through product bundling, upselling, and expanded account coverage.

Additionally, the acquisition adds considerable scale to WiseTech’s SaaS revenue base, with E2open contributing over US$600 million in annual recurring revenue and a healthy enterprise client roster.

WiseTech plans to progressively integrate E2open’s technology into its CargoWise platform while preserving key client relationships and delivery capabilities. The company expects integration efforts to generate cost efficiencies and improved operational leverage over the medium term.

Technology Integration and Platform Strengthening

WiseTech’s core strength lies in building highly scalable, integrated software solutions that digitise and automate the logistics chain. The acquisition of E2open is expected to bolster its innovation pipeline with additional intellectual property, data sets, and development resources.

E2open’s focus on AI-powered forecasting, trade compliance automation, and supply chain collaboration complements WiseTech’s capabilities in freight execution, border clearance, and global compliance. Together, the two companies aim to create a unified digital logistics ecosystem that reduces friction, increases efficiency, and improves visibility for all stakeholders.

WiseTech reaffirmed its commitment to continuing product innovation and platform enhancement post-acquisition, with a disciplined approach to integration and scalability.

Financial Impact and Capital Management

WiseTech confirmed that the acquisition will be EPS accretive from FY26, with modest earnings impact expected in the short term due to integration and transition costs. The company’s strong balance sheet and consistent cash generation provide flexibility to support the deal while maintaining financial discipline.

The transaction will be funded through a mix of existing cash and new debt, with the company’s net leverage expected to remain within its stated financial framework. Management emphasised its commitment to maintaining a conservative capital structure and continuing to invest in organic product development alongside strategic M&A.

Shareholders responded positively to the announcement, viewing the acquisition as a strong strategic fit with long-term earnings and platform expansion potential.

Outlook and Strategic Priorities

Following the acquisition, WiseTech’s immediate priorities include the seamless integration of E2open’s technologies and customer base, ensuring a smooth transition that preserves key relationships and service continuity. The company also aims to accelerate the adoption of its CargoWise platform across new industries and geographic regions, expanding its global reach. In parallel, WiseTech plans to strengthen its enterprise sales, support, and delivery capabilities to better serve large-scale clients. Additionally, it will focus on enhancing real-time visibility, data intelligence, and compliance features to provide a more comprehensive and efficient logistics solution.

The company remains focused on delivering long-term value through product leadership, global expansion, and customer-centric platform development. WiseTech reaffirmed its medium-term guidance and sees the acquisition as a catalyst for sustained top-line growth and margin expansion.