Panasonic Corporation has agreed to acquire Blue Yonder, an end-to-end, digital fulfilment platform provider. Panasonic will purchase the remaining 80 per cent of shares of Blue Yonder, adding to the 20 per cent which Panasonic acquired in July 2020. The agreement to purchase the remaining shares was reached between Panasonic and the existing shareholders New Mountain Capital and funds managed by Blackstone.
Blue Yonder provides an end-to-end platform driven by AI/ML that serves as a 'system of intelligence' for its global retail, manufacturing, and logistics customers. Its cloud-based Luminate platform manages all nodes of the supply chain across planning, execution, and commerce on one unified platform.
The acquisition enhances Panasonic's own digital transformation and customer-centric focus. On 1st April 2022, the Panasonic Group will shift to a holding company system concentrating management resources on strategic businesses in key areas such as providing supply chain innovation and automation.
Yasuyuki Higuchi is the CEO of Panasonic's Connected Solutions Company (to become Panasonic Connect Co., Ltd. on 1st April 2022) which leads this business area. Blue Yonder CEO Girish Rishi and the extended leadership team will join the new organisation and the Blue Yonder brand will be retained and the business will function within the Panasonic Connected Solutions Company umbrella.
Yuki Kusumi, Panasonic CEO said, "I'm extremely happy to welcome Blue Yonder and its associates to the Panasonic Group. Both companies have the same mission to support customers' frontline operations and we have a high affinity in our corporate cultures. By merging the two companies, we would like to realise a world where waste is autonomously eliminated from all supply chain operations and the cycle of sustainable improvement continues. There are still many such losses and stagnation in supply chain operations, so through the drastic reduction of wasted labour and resources, we would like to provide better ways of working, and contribute to customers' management reform and to the realisation of a sustainable society by carefully using limited global resources. I am confident that by combining the power of Blue Yonder and Panasonic, we can create innovation in global supply chains."
Girish Rishi, CEO of Blue Yonder added, "I am thrilled to announce that Blue Yonder is joining Panasonic. This association came about because of three years of working together, first with Panasonic as a Blue Yonder customer and thereafter as a joint venture partner. We have developed mutual trust and have a shared vision for an Autonomous Supply Chain that delivers a better life and a better world. As the essential platform for essential times, we are relentlessly focused on fulfilling our customers' potential."
The transaction has been approved by the Boards of Directors of both Panasonic and Blue Yonder. The deal is intended to close by the second half of this fiscal year and is subject to receipt of customary regulatory approvals.