Descartes buys Aljex Software

Logistics system provider Descartes Systems Group is acquiring Aljex Software, Inc., a cloud-based provider of back-office transportation management solutions, for $32.4 million in cash.

Serving freight brokers and transportation providers Aljex said its customer base totals nearly 400 customers in North America and its software helps manage nearly 3 million freight moves per year.

The acquisition will fold Aljex’s software into Descartes’ MacroPoint network so customers can manage the “lifecycle of a shipment” from order creation through execution with real-time tracking included, noted Edward Ryan, Descartes’ CEO.

“We have worked with Aljex for a number of years to provide end-to-end solutions for the freight broker community in North America,” he said in a statement. “We now have an opportunity to fully integrate Aljex into the Global Logistics Network. In doing so, we can provide customers with improved access to track shipments and the ability to better utilize increasingly scarce carrier capacity.”

Tom Heine, CEO of Aljex, echoed that view regarding truck capacity. “Managing the capacity on trucks profitably while meeting increasingly high customer delivery expectations is a complex task,” he explained. “These solutions can also be utilized by large fleet operators looking to broker their own excess capacity and improve truck utilization.”