SPS Commerce Acquires SupplyPike

Core Viewpoint - SPS Commerce has announced the acquisition of SupplyPike, enhancing its product portfolio with automated invoice deduction management and prevention solutions [1][2] Acquisition Details - The acquisition was valued at approximately $119 million in cash and $87 million in SPS Commerce stock [4] - For Q3 2024, the acquisition is expected to contribute around $3.0 million in revenue, with an anticipated negative impact of approximately $750,000 on Adjusted EBITDA [4] - For fiscal year 2024, the company expects an additional $8.0 million in revenue and a negative impact of about $1.5 million on Adjusted EBITDA [5] - For fiscal year 2025, the expected revenue contribution is approximately $25.0 million, with a breakeven in Adjusted EBITDA [5] Strategic Importance - The acquisition aims to improve collaboration between trading partners in the retail supply chain, providing suppliers with tools to meet customer expectations through automated monitoring and dispute resolution [3] - The integration of SupplyPike is expected to create an industry-leading knowledge base to reduce supply chain errors and enhance supplier-customer relationships [3] Company Background - SPS Commerce is a leader in retail supply chain cloud services, connecting over 120,000 companies globally to optimize supply chain operations [7] - The company has achieved 94 consecutive quarters of revenue growth and is headquartered in Minneapolis [7]