YARDLEY, PA, August 13, 2004 - Prophet 21, the leading provider of technology solutions for durable goods distributors, announces the acquisition of Trade Service Systems, Inc., a division of TradePower, a technology provider of enterprise software solutions for electrical distributors.
"Prophet 21 has just completed a successful fiscal year that balanced strong organic growth with several acquisitions," said Chuck Boyle, Prophet 21 president and CEO, in making the announcement. "We are pleased to continue that strategy with the acquisition of Trade Service Systems. Trade Service Systems is a powerful force in the electrical market and together we will serve more than 600 electrical distributors."
Benefits of the Acquisition
Both Trade Service Systems and Prophet 21 customers will benefit from melding of Trade Service Systems' specific vertical market expertise with Prophet 21's technology leadership and corporate strength.
"In addition to acquiring the customer base and intellectual capital of Trade Service Systems, Prophet 21 gains access to a dedicated and knowledgeable staff that will help the company continue to strengthen its expertise among durable goods distributors and help customers continue to increase sales, improve customer service, and reduce operating costs," said Boyle.
Pledging to work with Trade Service Systems customers to help them achieve their technology goals, Boyle stressed that Prophet 21 will continue to develop and support Trade Service Systems solutions and added that Prophet 21 invests more than $10 million annually on research and development.
The acquisition further strengthens Prophet 21's domain expertise in the distribution industry as a whole, while deepening its knowledge of the electrical marketplace. Prophet 21 has more than 37 years experience in the distribution industry, including some of the largest electrical distributors in North America. Among them: Becker Electric Supply Company, Boggis-Johnson Electric Company, E.B. Horsman & Son, HH Benfield Electric Supply, Selecta Switch, and many others.
Founded in 1969, Trade Service Systems serves more than 300 distributors in North America. These customers will join Prophet 21's customer base, as Trade Service Systems and Prophet 21 will combine to form a single entity called Prophet 21. Trade Service Systems' products and services will be supported, marketed, and sold by Prophet 21.