Descartes Acquires ShipRush for $14 Million

Descartes Systems Group, a provider of Software-as-a-Service for logistics in B2B and B2C companies, has acquired parcel shipping software firm ShipRush for $14 million, expanding its services as it goes after midmarket ecommerce shippers. The acquisition closed last week, and ShipRush will maintain its branding as a Descartes offering.

Mavi Silveira, Vice President of Global of Marketing for Descartes, said ShipRush, with its focus on the SMB parcel space, is very complementary to Descartes, which specializes more in supporting larger B2B and B2C shippers, including less-than-truckload (LTL), truckload (TL), air freight and ocean freight as well as last mile services. Its larger retail customers include Home Depot, Sears, CVS, Westfield and Crate & Barrel.

“We’ve seen a lot of ecommerce activity and demand from customers both in B2B and the consumer space,” said Mavi Silveira, Vice President of Global of Marketing for Descartes. “It’s affecting everyone from giant retailers to manufacturers and smaller businesses just entering the market. And effectively managing the whole parcel piece of the transportation question becomes increasingly more important.”

Silveira said Descartes will be able to offer a growth path for SMBs using ShipRush’s shipping optimization product as they expand and face the complexities of larger volume shipments, including cross-border trade. The acquisition will also give customers access to an expanded network of partners including ecommerce platforms like Shopify, Magento and Big Commerce, as well as ERP providers, major and regional carriers.

“We’re very excited about the future and our synergies in terms of products, customers and relationships,” she said. “SMBs will have a single login to a technology platform provider that can help them if they grow from parcel in the freight space, or have international requirements. They can stay with a single vendor to handle all their logistics and transportation needs.”

“Our acquisition by Descartes offers exciting new opportunities for ShipRush and its customers,” said ShipRush founder Rafael Zimberoff in a release. “By joining the Descartes community, ShipRush’s SMB customers will be able to expand the complexity and scope of their ecommerce operations using a single platform where their entire logistics network can exist, regardless of the range of transportation modes or the variety of trading partners in their supply chain.”