WYNIT Distribution, LLC acquired legacy distribution business of Speed Commerce, Inc..
July 09, 2014 at 12:00 am
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WYNIT Distribution, LLC acquired legacy distribution business of Speed Commerce, Inc. (NasdaqGM:SPDC) for $15 million on July 9, 2014. Pursuant to the agreement, $5 million of the purchase price is to be paid to Speed Commerce in cash. Up to an additional $10 million is payable to Speed Commerce under a promissory note that is secured by all of WYNIT's assets. WYNIT acquired substantially all of the assets of Navarre Distribution Services, Inc., Navarre Distribution Services, ULC,, Navarre Online Fulfillment Services, Inc., Navarre Digital Services, Inc., Navarre Logistical Services, Inc., Encore Software, Inc. and Viva Media, Inc. In connection with the sale of the assets, effective July 9, 2014, the employment of Ward Thomas was terminated in connection with his being employed by WYNIT. As part of this transaction Navarre will operate as a strategic business unit out of its headquarters in Minnesota. Speed Commerce has used the proceeds from the sale to pay down its line of credit and support the continued growth of its e-commerce business. Craig-Hallum Capital Group served as financial advisor to Speed Commerce for the divestiture. Craig S. Wittlin of Harter Secrest & Emery LLP acted as legal advisor to WYNIT. Scott J. Dongoske of Winthrop & Weinstine, P.A. acted as legal advisor to Speed Commerce.
WYNIT Distribution, LLC completed the acquisition of legacy distribution business of Speed Commerce, Inc. (NasdaqGM:SPDC) on July 9, 2014.
Speed Commerce, Inc. is a single-source provider of omnichannel customer experience solutions and technology for ecommerce retailers and manufacturers. The Company specializes in ecommerce order fulfillment and contact center operations, assisting ecommerce retailers. Its cloud-based fulfillment platform for order and inventory management features integration with ecommerce platforms, and automatic order importing from online marketplaces, including Amazon, Magento, and Shopify. The Company offers a range of solutions, such as e-commerce customer service, fulfillment and warehousing, and client services. Its e-commerce customer services include inbound and outbound telephone support services, order processing, upselling, and cross-selling, email inquiries, outbound marketing campaigns, database scrubbing, and market research. Its fulfillment and warehousing solutions include receiving, picking and packing, shipping, inventory management, returns management, and cross-docking.