Situation
Alphameric is a leading supplier of innovative software solutions to retail, leisure and financial organisations worldwide.
Online Logistics is the logistics and duty management software division of Alphameric plc. Online Logistics provides a complete third-party logistics and warehouse management software suite to its corporate customer base.
Approach
In early 2003 ARC Associates approached a Alphameric with regard to its Online Logistics business in the context of a strategic divestiture.
Following a review of Online Logistics and a preliminary valuation analysis, ARC Associates determined that the sale of the business was consistent with Alphameric’s ongoing strategic objectives.
In preparation for the sale of the business, ARC Associates identified and profiled a number of logistics software companies that would form a base of potential acquirers for Online Logistics.
ARC Associates initiated a competitive auction process through a call programme of potential acquirers in the industry. In parallel with the call marketing programme, ARC Associates produced summary information documents and memoranda based.
Following a competitive bidding process, ARC identified two parties with which to proceed on a semi-exclusive basis; upon review of both offer price and funding capability, elected LIS Online Limited as a preferred acquirer and moved into a period of exclusivity.
The Transaction
LIS acquired Online Logistics from Alphameric and announced the transaction on 2 October 2003.