WiseTech signals e2open acquisition interest, confirms role in strategic review
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The news: WiseTech has confirmed that it is participating in the strategic review previously announced by US cloud computing firm e2open in March of 2024.
The numbers: Shares in WiseTech were up almost 6% on Thursday, but remain down almost 25% year-to-date.
The context: In an ASX announcement filed Thursday, WiseTech said it will continue accelerating its product development and ecosystem reach through a proactive acquisition program that includes “strategically significant acquisitions as well as tuck-ins and foothold acquisitions.”
Consistent with the strategy, the almost $30 billion Australian tech giant confirmed its participation in e2open’s review process, but flagged that there is no certainty that a transaction will result nor on what terms such a transaction would take.
Earlier on Thursday, the AFR reported that WiseTech is in discussions to pay up to $3.5 billion for the listed firm. Should the transaction complete, it would be the largest made by WiseTech to date, and could double its revenue.
Executive chair of WiseTech, Richard White, has been embroiled in a series of governance scandals over the past 12 months, resulting in an exodus of board members and hitting the company’s share price. White last week reached a settlement with the third woman who has made allegations against him. AustralianSuper sold its $580 million stake in the business last month as it was not satisfied with WiseTech’s corporate governance record.
White is also facing probes from the Australian Securities and Investments Commission into whether the company complied with continuous disclosure obligations, as well as whether he possibly engaged in insider trading by selling shares during a blackout period between December 2024 and February 2025.
The sources: WiseTech Global, E2open statement , AFR
