IBM Acquisition of Emptoris Sparks New Round of Rumours?
IBM Acquisition of Emptoris – Sparks New Round of Rumours?
IBM yesterday announced a definitive agreement to buy Emptoris Inc., an acquisition that will allow IBM to deliver more solutions focused on the needs of sourcing and procurement professionals and the announcement may re-trigger fresh rumours of an alleged bid by IBM for RPO specialists Alexander Mann Solutions supposedly made in early 2011. That story was denied both by AMS and its private equity backer, Graphite Capital who told RI in March, that AMS was profitable, growing and not-for-sale.
With more than 350 customers in 75 countries, Emptoris is based in Burlington, Mass. with offices in the U.S., U.K., France, Germany, Australia, India, Brazil and China. Emptoris' global clients span multiple industries including consumer products, financial services, healthcare, telecommunications, chemical/oil/gas, utilities, construction and industrial manufacturing.
The Emptoris acquisition also will complement IBM's Supply Chain Management (SCM) Business Process Outsourcing capabilities within its Global Process Services organization. Emptoris' expertise and technology enhances IBM's Procurement and Supply Chain services, including its ability to apply category expertise and global operations to help clients streamline and automate supplier interactions, resulting in improved strategic sourcing, reduced service costs, and greater savings from spend with suppliers. Founded in 1999, Emptoris has over 725 employees around the world. The acquisition is anticipated to close in the first quarter of 2012, subject to the satisfaction of customary closing conditions and applicable regulatory reviews. Financial terms were not disclosed.