Supply chain suppliers merge

Financially troubled supply chain planning software specialist Synquest (which recently filed for transfer down to the Nasdaq SmallCap makret), supply chain execution software vendor Viewlocity, and web-based supply chain event management services company Tilion have announced plans to merge into one organisation. Synquest and Viewlocity will merge operations and Tilion will merge into the combined company, providing cash of $13 million. SynQuest will also issue between $14.5 million and $17 million of new shares for additional cash investments by existing shareholders of SynQuest and Viewlocity, also covering $7 million of debt. Jeffrey Simpson, ceo of Viewlocity, commented: “Companies not only want to have good planning systems but they also want to have visibility and alerting against those. There’s not a planning process and then an execution process. You’re really continuing your execution.” The combined company will sell all existing products and will focus initially on the automotive, consumer durables, industrial, high technology, printed packaging and consumer packaged goods. It will major on financially focused supply chain planning and adaptive execution capabilities for users with complex, extended supply chains. SynQuest customers include Ford Motor Company, Nissan North America, HON Industries, Simmons Company, Penske Logistics and Honda Express. Viewlocity’s customers include Dell, DHL and DSC Logistics. The companies say the eventually combined systems will cover adaptive supply chain capabilities, meaning dynamically planning to maximise supply chain profit, while simultaneously managing and resolving unscheduled events.