Business, Feature, Freight News, Logistics, Road

Descartes Acquires MyCarrierPortal

[ September 20, 2024   //   Gary G Burrows ]

Descartes Systems Group, the on-demand software-as-a-service solutions provider, said it has acquired Assure Assist Inc., doing business as MyCarrierPortal, or MCP, a provider of carrier onboarding and risk monitoring solutions for the trucking industry.
MCP’s solutions are designed to help freight brokers and shippers quickly set up carrier requirements through an onboarding platform that gathers information on carriers and screens them for suitability to deliver loads/shipments based on the broker’s risk and compliance criteria. Truck carriers are screened for legitimacy, insurance compliance, and an acceptable safety record. Carriers that are onboarded to the platform are monitored on an ongoing basis to help ensure continued compliance. If a carrier falls out of compliance, the customer is notified to take appropriate action with that carrier.
“Carrier fraud and cargo theft is an ongoing problem in the transportation industry. This acquisition is another investment to help enable improved ‘Know-Your-Carrier’ capabilities that are critical to improve supply chain performance and fraud reduction,” said Dan Cicerchi, general manager of transportation management at Descartes. “We actively connect with hundreds of thousands of carriers and thousands of brokers and shippers.
Cicerchi said many of its participants “have expressed their desire for us to further extend our investments in fraud prevention. The combination of MCP and our Descartes MacroPoint FraudGuard tool presents a differentiated solution for our customers to efficiently onboard carriers while enhancing visibility and compliance and reducing fraud risk,” he said.
“We remain committed to adding solutions to our Global Logistics Network that help our customers manage the complete lifecycle of shipments in a secure and efficient manner,” said Edward J. Ryan, CEO of Descartes, based in Waterloo, Ontario, Canada.
Descartes said acquired MCP for up-front consideration of about US$24 million satisfied with cash on hand, plus potential performance-based consideration. The maximum amount payable under the all-cash performance-based earn-out is US$ 6 million, based on the combined business achieving revenue-based targets in each of the first two years post-acquisition. Any earn-out is expected to be paid in fiscal 2026 and fiscal 2027.

Tags: Assure Assist Inc, Descartes Systems Group