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JDA Software to Acquire i2 Technologies

Published: August 13, 2008

The combination of the two companies creates a global provider in the supply chain planning and optimization market.

JDA Software Group Inc. and i2 Technologies, Inc. recently announced the signing of a definitive merger agreement for JDA Software to acquire i2 Technologies, Inc., a global provider of supply chain solutions, for an enterprise value of approximately $346 million in cash. The combination of the two companies creates a global provider in the supply chain planning and optimization market. On a pro–forma trailing 12–month basis, the combined company has annual revenues of $635 million, including nearly $300 million of annual maintenance and recurring subscription fees.
 
According to JDA Chief Executive Officer Hamish Brewer, the i2 acquisition completes the picture for JDA in the supply chain planning and optimization market. "By acquiring i2 we double our addressable market in manufacturing to include discrete manufacturing, complementing our current market leadership in process manufacturing and strengthening our retail and transportation management presence. A major player in the supply chain space for more than 20 years, i2's world–class customers and employees are the perfect match for JDA. With the experience gained from the successful acquisition of Manugistics in 2006, the addition of i2 is comparatively an incremental and logical step for JDA," commented Brewer. "We are confident in our abilities to execute and deliver on projected synergies creating significant incremental shareholder value."