Francisco Partners, a technology-focused buyout fund, has acquired RedPrairie Corp,, a privately-held provider of warehouse management systems (WMS). Terms were not disclosed.
RedPrairie is the third major WMS vendor to be acquired in 2005, following in the wake of Optum and Delfour. Click here to read more:
“As the software landscape continues to consolidate -- and the large
enterprise players like Oracle Corp., SAP, SSA Global and Microsoft Corp. become more powerful -- vendors like RedPrairie are being forced to think defensively and find new sources of capital to accelerate growth,” explains Adrian Gonzalez, an analyst with ARC Advisory Group. “It's not surprising that RedPrairie and others are going the private equity route, i.e., consolidating ownership under one entity and pursuing a roll-up strategy (a strategy that's easier to pursue as a private entity instead of a public company).”