Cargotec has agreed to sell leading terminal operating system (TOS) provider Navis to Accel-KKR, a Silicon Valley-based technology-focused investment firm for an enterprise value of €380m (US$450m).
The Finnish company expects that the deal will have a positive impact of around €230m (US$270m) on its operating profit in 2021.
A statement from Navis noted that deal represents a strategic capital commitment to fuel growth in software as a service (SaaS), digitalisation and expansion to inland and other supply chain solutions.
Park Durrett, managing director of Accel-KKR, said: “We are thrilled to welcome the entire Navis team to the Accel-KKR portfolio of market-leading software companies.
“In today’s world, the movement of goods for a vast array of shippers and operators has increased exponentially in volume, velocity and complexity, amplifying the need for powerful workflow optimisation and full visibility into every corner of supply chains.”
He continued: “Navis will extend Accel-KKR’s focus on investing in solutions that can drive toward a true end-to-end, all-in-one execution and visibility platform that shippers and operators have been seeking.”
Under Cargotec’s ownership and investment, Navis established a market-leading position in TOS solutions and made a number of strategic acquisitions that strengthened its presence in enterprise software for global logistics providers.
Benoit de la Tour, Navis president and CEO, stated: “Navis is looking forward to the next stage in our growth with Accel-KKR, a technology-focused investment firm that brings a wealth of enterprise software expertise, network and global resources.
“We are also grateful for the strategic support and strong partnership Cargotec has provided during their ownership.”
The transaction is subject to normal regulatory approvals and works council consultation in relevant jurisdictions, while closing is expected by the end of Q3 2021.
Mika Vehviläinen, Cargotec CEO said: “We are pleased to have reached this agreement that delivers a great home for Navis and maximises value for our stakeholders. The transaction will secure the best possible growth and value creation for the next development phase for Navis.”
Accel-KKR, which has more than US$10bn in capital commitments, tends to focus on middle-market software and technology companies. It is headquartered in Menlo Park, California, and has offices in Atlanta and London.
Its supply chain portfolio includes investments in Tai Software, a transportation management software solution, and Rhino Fleet Tracking, which provides fleet tracking for vehicle, trailers and equipment.