Blue Martini Software and Ecometry Merge Equipment
SAN MATEO, CA AND DELRAY BEACH, FL (May 13, 2005) – Blue Martini Software, Inc. (NASDAQ: BLUE), a leading provider of sales optimization systems and Multi-Channel Holdings, a privately held Golden Gate Capital portfolio company, today announced that the acquisition of Blue Martini by Multi-Channel Holdings has been completed and is effective. Under the terms of the agreement, each outstanding share of Blue Martini common stock has been converted into the right to receive $4.00 in cash.
Multi-Channel Holdings is the parent entity of Ecometry Corporation, a leading multi-channel retail software vendor with a client base of over 400 customers. That client base includes many of the world’s most prominent retailers, including Nordstrom, Urban Outfitters, Coach, Brookstone, Nine West and Lego. As a result of this transaction, Blue Martini Software and Ecometry Corporation will be combined to create a market leading software company that will power multi-channel retailers. Monte Zweben, Founder, Chairman and CEO of Blue Martini is the Chairman of the Board of the combined entity. John Marrah, the President and CEO of Ecometry is the President and CEO of the combined entity.
“The combination of Blue Martini and Ecometry delivers an unsurpassed end-to-end solution for multi channel retailers”, said John Marrah. “We can now optimize and integrate multiple customer interaction channels including eCommerce, in-store sales associates, catalog, gift registry, messages at point-of-sale, loyalty programs, call center and marketing campaigns to deliver personalized interactions that increase loyalty and maximize revenue. We can then ensure cost-effective, on-time delivery of sales orders from such customer interactions through our fully integrated back-office solutions including order management, shipping, continuity management, inventory forecasting, warehousing and standing order management. The combined entity is currently building key integrations for one joint customer and has already seen close to a dozen cross-sell opportunities for the Blue Martini product line into the Ecometry customer base. The combined product portfolio will dramatically enhance the value we provide to our respective customer bases and the retailing vertical in general. The combination of these entities and the backing of Golden Gate Capital greatly augment the financial strength of both companies. The greatest value created from this transaction will be through the combination of world class people in both Ecometry and Blue Martini and the long term value that they will create for the combined customers,” commented Marrah.
David Dominik of Golden Gate Capital adds, “This is the first step in realizing the goal that we created with John Marrah and Ecometry Corporation of together building the leading software provider for multi-channel retailers. We look forward to adding the visionary skill sets of Monte Zweben and the Blue Martini management to the team.”
“We are very excited that existing Blue Martini customers will benefit from a more financially sound partner that is focused on customer satisfaction and who does not need to contend with the pressures and costs of the public markets,” said Monte Zweben, Chairman of the combined entity. “Additionally, we look forward to delivering Blue Martini products to a much larger installed base of customers. We will continue to invest in advancing the existing Blue Martini platform and maintain its leadership position as one of the most innovative multi-channel retail solutions in the industry today. In addition, we will continue to deliver our products through resellers and OEM channels establishing broader distribution.” The first OEM channel opportunity is with Infor, the largest enterprise solutions provider focused exclusively on solving the essential changes customers face in the manufacturing and distribution industries. Infor is a Golden Gate portfolio company, with revenues approaching $600 million. Ken Walters, President of Infor, states “Like Ecometry, we expect our customer base to significantly benefit from the distribution of Blue Martini’s e-commerce, business intelligence, relationship marketing, configuration, and guided selling applications into our markets. We plan to significantly invest in Blue Martini’s platform and products, tailoring their solutions to meet the needs of our customers.”
About Golden Gate Capital
Golden Gate Capital is a San Francisco-based private equity investment firm with approximately $2.6 billion of capital under management. Golden Gate Capital is dedicated to partnering with world-class management teams to invest in change-intensive, growth businesses. It targets investments of up to $250 million in situations where there is a demonstrable opportunity to significantly enhance a company’s value. The principals of Golden Gate Capital have a long and successful history of investing with management partners across a wide range of industries and transaction types, and in particular, have been very active in the enterprise software market. Blue Martini represents the fifth software public-to-private transaction that Golden Gate Capital has completed within the last two years and its 27th software investment or acquisition. For more information, visit www.goldengatecap.com.
About Multi-channel Holdings
Multi-Channel Holdings, Inc. is a privately held Golden Gate Capital portfolio company and is the parent entity of Ecometry Corporation.
About Blue Martini
Blue Martini Software is a leading provider of sales optimization systems. Its software proactively guides sales people, partners, and customers through sales interactions, helping them to sell more. Over 170 companies worldwide including Carrefour, DuPont, Harley-Davidson, Kohl’s, Mitsubishi, Panasonic, Saks Fifth Avenue, and Sprint have licensed Blue Martini’s sales optimization systems to sell more effectively. Blue Martini is headquartered in San Mateo, California. For more information, visit www.bluemartini.com.
Ecometry is the premier provider of customer focused software solutions for direct and multi-channel commerce. Its flagship product, Ecometry Commerce Suite, is a high volume suite of business applications designed to completely automate front-end and back-end operations for multi-channel retailers. Headquartered in Delray Beach, Florida, Ecometry’s client roster of more than 380 companies includes industry leaders such as Nordstrom, Time Life, Brookstone, Miles Kimball, Hickory Farms, Levenger, Delia’s, Overton’s, Nine West, Coldwater Creek, Coach, Ross-Simons and Urban Outfitters. For more information, visit www.ecometry.com.