Traceability and compliance Software as a Service (SaaS) provider Pivot88 has been acquired by TradeBeyond, a platform that helps brands and retailers manage product development, sourcing and logistics.
Formerly known as CBX Software, TradeBeyond specializes in private-label and branded merchandise. The strategic acquisition will add to the firm’s comprehensive SaaS solutions and promote its deepening focus on helping companies reach their ESG goals, it announced Wednesday.
Pivot88’s platform gives users a 360-degree view of a product’s lifecycle, from farm to store, providing retailers with the supply chain data needed to mitigate risk and ensure compliance with labor and sustainability regulations and trade laws. The company currently orchestrates quality and compliance processes across 112 countries, with more than 50,000 supply chain partners. Founder Stephanie Boivin said the deal would underscore the synergies between the two organizations.
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Boivin, who will transition into a leadership role at TradeBeyond, added that the acquisition will allow the firm “to offer an even more efficient and cost-effective way for global brands and retailers to improve their product quality, manage their supply chain partners, and reduce supply chain risks.”
TradeBeyond’s technology relies on AI to sift through hundreds or thousands of documents like purchase orders and sustainability and compliance reporting from Tier 1 suppliers, scanning keywords that could represent risks. Flagged terms could indicate a certain country of origin, an entity blacklisted by Customs and Border Protection (CBP), or other suppliers that a company has determined it would like to avoid. Amid recent legislation like the Uyghur Forced Labor Prevention Act (UFLPA), brands are worried about having their shipments detained, making documentation and traceability critical to mitigating risk, Pivot88 previously told Sourcing Journal.
Since Hong Kong-based investment firm BPEA EQT invested $10 million in 2022, TradeBeyond has pursued organic growth by broadening its geographic reach and its product range to include more ESG-related solutions. The company said it is on track to double its recurring revenue growth this year.
The Pivot88 acquisition represents a key step in its overall mergers and acquisitions strategy to invest in pioneering solutions that will serve a bigger share of the growing SaaS supply chain market. TradeBeyond said it would also help the organization develop greater operational efficiency through the pooling of resources, and generate economies of scale to strengthen its competitive stance.
“Pivot88 will further cement our lead in extended supply chain solutions that streamline our customers’ supply chain from concept to delivery and beyond,” TradeBeyond CEO Michael Hung said. Noting that the company “has been at the forefront in helping major brands and retailers enhance product quality and traceability,” he said he looked forward to bringing Pivot88’s team on board “to help our customers tackle today’s complex supply chain challenges.”
