Descartes Group Acquires Drivin

(RTTNews) - The Descartes Systems Group (DSGX), a provider of logistical solutions, Monday announced that it has acquired Drivin, a provider of last mile delivery management solutions across Latin America.

Drivin operates in high density urban environments and this acquisition enhances the Decartes' ability to serve distribution-intensive businesses around the world, amidst growing urban congestion and complexity.

Drivin brings a proven and highly adaptable solution for managing complex last mile operations. It also has a significant volume of last mile logistics data and operational metadata generated from real-world delivery execution across Latin America to improve AI training and execution, predictive analytics, and optimization, said James Wee, General Manager of Fleet Performance Management solutions at Descartes.

Descartes acquired Drivin for approximately $30 million in an upfront cash deal along with potential performance-based consideration. The maximum amount the company will pay for this deal under the all-cash performance-based earn-out is $5 million, based on the combined business achieving revenue-based targets in the first two years post-acquisition.

Any earn out is expected to be paid in fiscal 2029.

In pre-market activity, DSGX shares are trading at $72.63, down 0.23% on the Nasdaq.