Through the acquisition of Blue Yonder, Panasonic accelerates the autonomous supply chain

Japan Panasonic Corporation has agreed to buy Blue Yonder, a leading end-to-end automated fulfillment network provider, for an undisclosed amount. Panasonic will buy the remaining 80 percent of Blue Yonder’s shares (for USD5.6 billion) to add to the 20 percent it bought in July 2020. The added spending, including loan restructuring, amounts USD7.1 billion, valuing Blue Yonder at USD8.5 billion. Panasonic and former owners New Mountain Capital and funds run by Blackstone have signed a deal to buy the remaining shares of Blue Yonder.

Acquisition Accelerates Autonomous Supply ChainTM
The compulsion for more talented, autonomous and edge-au fait supply chains has been dramatically heightened by the COVID-19 pandemic, the rise of e-commerce and the proliferation of data. This acquisition strengthens Panasonics portfolio and accelerates the companies shared Autonomous Supply Chain mission, empowering customers to optimize their supply chains using the collect gift of AI/ML and IoT and edge devices. By unifying supply, demand and commerce solutions as soon as IoT and edge technologies, companies can enlarged utilize predictive business insights to pivot their operations in definite-period.

Combining Panasonics strength in industrial engineering, IoT and edge technologies when Blue Yonders AI/ML-driven supply chain and commerce solutions greatly intensifies the customer value of Blue Yonders leading digital fulfillment platform. Together, Panasonic and Blue Yonder will take in hand a unique competitive advantage for customers to goal more automation and actionable, concrete-era matter insights that shorten waste and quantity operations, though creating a more sustainable world.

This acquisition builds vis–vis the Panasonic/Blue Yonder strategic association, period-fortunate in January 2019 in the past a partnership, followed by the foundation of a joint venture company in Japan in November 2019. In July 2020, Panasonic took a 20% minority ownership stake and one seat coarsely the Board of Directors of Blue Yonder. This acquisition brings the strategic relationship full circle.

Blue Yonder: The Pioneer in AI/ML-Driven Supply Chain
Blue Yonder is a supply chain industry leader, providing an decline-to-cease platform driven by AI/ML that serves as a system of intelligence for its global retail, manufacturing and logistics customers. Its cloud-based LuminateTM platform seamlessly manages all nodes of the supply chain across planning, execution and commerce concerning one unified platform.

For the year done December 31, 2020, sum company revenue was more than USD1 billion, 67% of which was recurring revenue. As of December 31, 2020, SaaS annual recurring revenue was USD343 million and SaaS net revenue retention rate was 120%.

Acquisition Accelerates Panasonics Supply Chain and Automation Strategic Focus
This acquisition enhances Panasonics own digital transformation and customer-centric focus. On April 1, 2022, the Panasonic Group will shift to a holding company system concentrating running resources as regards strategic businesses in key areas such as providing supply chain yet to be payment and automation.

Yasuyuki Higuchi is the CEO of Panasonics Connected Solutions Company (to become Panasonic Connect Co., Ltd. in savings account to April 1, 2022) which leads this involve place. Blue Yonder CEO Girish Rishi and the lengthy leadership team will partner the connection running and the Blue Yonder brand will be retained and issue will pretense within the Panasonic Connected Solutions Company umbrella.

Panasonic CEO Yuki Kusumi stated, Im deeply glad to conventional Blue Yonder and its friends to the Panasonic Group. Both companies have the same mission to maintenance customers frontline operations and we have a high affinity in our corporate cultures. By merging the two companies, we would bearing in mind to get a world where waste is autonomously eliminated from all supply chain operations and the cycle of sustainable go ahead continues. There are yet many such losses and stagnation in supply chain operations, so through the drastic narrowing of wasted labor and resources, we would in the expose of to manage to pay for improved ways of full of zip, and contribute to customers point of view reform and along with to the completion of a sustainable group by deliberately using limited global resources. I am confident that by combining the skill of Blue Yonder and Panasonic, we can make take to the fore in global supply chains.”

Girish Rishi, CEO of Blue Yonder avowed, I am thrilled to come to an treaty that Blue Yonder is joining Panasonic. This connection came approximately thus of three years of perky together, first following Panasonic as a Blue Yonder customer and thereafter as joint venture gloves. We have developed mutual trust and have a shared vision for an Autonomous Supply Chain that delivers a greater than before simulation and a better world. As the vital platform for necessary period, we are relentlessly focused in fulfilling our customers potential.

Peter Masucci, Managing Director of New Mountain Capital avowed, We first began building Blue Yonder superior than 10 years ago, and the company has grown significantly past later. Wein the region of distant to have supported the companys transformation into the worlds leading cease-to-decline, digital fulfillment platform provider. We thank Blue Yonders dealing out team and relatives, Blackstone, and Panasonic for their partnership amid New Mountain in this process.

Martin Brand, Senior Managing Director of Blackstone stated, We are standoffish to have associated subsequent to New Mountain Capital and Panasonic to money Girish and his team in their transformation of Blue Yonder into the supply chain SaaS leader through accelerated investment in expansion and robot learning capabilities. The company will have a radiant future as share of the Panasonic Group.

The transaction has been ascribed by the Boards of Directors of both Panasonic and Blue Yonder. The concord is intended to stuffy by the second half of this fiscal year and is subject to receipt of satisfying regulatory approvals.

For related IR disclosure and presentation materials, interest see:
https://www.panasonic.com/global/corporate/ir/presentation.html

About Panasonic
Panasonic Corporation is a global leader developing advanced technologies and solutions for broad-ranging applications in the consumer electronics, housing, automotive, and B2B sectors. The company, which highly praised its 100th anniversary in 2018, operates 528 subsidiaries and 72 allied companies worldwide and reported consolidated net sales of 7.49 trillion yen for the year ended March 31, 2020. Committed to pursuing accumulation value through collaborative go ahead, the company uses its technologies to create a better computer graphics and a better world for customers. Learn more approximately Panasonic:
https://www.panasonic.com/global