Two Canadian software companies were involved in two different transatlantic acquisitions today. Kitchener-Waterloo, Ont.-based Descartes Systems Group has acquired Dublin, Ireland’s Aerospace Software Developments (ASD), while Toronto-based HR management tool provider GroupeX Solutions has been acquired by Paris, France-based HR Path.
Descartes said that ASD, which provides customs declaration software for logistics service providers, will complement its current global logistics network and provide Irish customs domain experience.
Descartes said it originally arranged to acquire ASD for approximately €57 million ($83 million CAD), but paid €54 million ($79 million CAD) from cash on hand at close with “final arrangements” expected in Descartes’s fiscal 2025 fourth quarter, which ends Jan. 31, 2025.
Founded in 1981 and listed on the Toronto Stock Exchange since 1998, Descartes offers a suite of software solutions geared for use in logistics and supply chains. Its users can manage and monitor logistical processes such as delivery resources, invoices, documentation, and shipments.
Descartes’s growth has been fuelled by an active acquisition strategy, which mostly targets other freight, transportation, and supply chain management companies.
In 2018, Descartes acquired Toronto-based PinPoint, which collected real-time location information on trucks and mobile workers, for $15 million. In 2022, Descartes completed a string of acquisitions, which included NetCHB for $38.7 million USD, Foxtrot for $4.2 million USD, and XPS Technologies for $61.1 million USD. The company then kicked off its 2023 by nabbing Arizona-based Supply Vision for $12 million USD and Minnesota-based GroundCloud for $138 million USD.
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Descartes’s executive vice-president of product management, Ken Wood, said the firm sees potential in combining ASD’s RFID tracking solutions with its own real-time tracking platform.
On the other side of an acquisition is Toronto’s GroupeX, the third Canadian company to be recently acquired by HR Path, as the latter seeks to entrench its North American presence. The French firm previously acquired Avenue HR in 2017 and InTalent in 2020.
“Canada holds significant importance, being one of the first countries we expanded to back in 2011,” HR Path president François Boulet said in a statement. “With this latest acquisition, we solidify our position as the leader in Human Capital Management in North America, strengthening our partnerships with top software vendors.”
Founded in 2001, GroupeX provides turn-key implementation services for HR management tools, including UKG, SAP, and WorkForce in addition to on-demand spot consulting support and advisory assessment services. HR Path said the acquisition will help expand its human resources information system consulting practice.
Feature image courtesy Kelsey Knight via Unsplash.