On Tuesday, global private equity giant KKR announced that it has acquired “a significant minority stake” in Körber, a German technology group that develops supply chain management software. A joint statement from the companies, the strategic partnership will aim to scale Körber’s technology as a global leader in end-to-end supply chain solutions.
Financial terms of the transaction were not disclosed.
Körber’s supply chain software business is among the top three global warehouse management software providers, delivering customers with differentiated warehouse management solutions (WMS) for varying operational complexities through software, voice and robotics solutions. With over 1,300 employees, the business has grown significantly over recent years, serving a diversified mix of more than 4,200 customers in different industries across over 70 countries.
According to KKR, structural trends and market forces, including e-commerce, multi-channel, and micro-fulfillment, are amplifying the need for digital solutions to handle increased volume and overcome greater supply chain complexity.
KKR will work with Körber’s supply chain software business to pursue organic and inorganic growth strategies to expand the company’s geographic footprint, accelerate the transition to SaaS, automation and robotics, as well as to develop innovative digital solutions to support customers amid increasing warehouse automation and supply chain localization.
“I’m excited about this strategic partnership and the tremendous business opportunities evolving out of it,” Körber Group CEO Stephan Seifert said in an official comment. “It is in Körber’s DNA to identify and develop attractive growth areas. With our supply chain software offerings, we strive to have a rich end-to-end application suite that provides enhanced software solutions to our customers all around the world. With KKR we have found a great business partner to accelerate our growth for supply chain software across additional products and regions. Always with one clear vision: market leadership through technology leadership for the benefit of our customers.”
“A seamless and highly automated supply chain is business critical for enterprises of all sizes and we see significant growth potential in this market,” Christian Ollig, Head of KKR for DACH, and Jean-Pierre Saad, Head of Technology for Private Equity in EMEA at KKR, said in a joint comment. “Körber’s supply chain software business is already one of the leading providers with excellent expertise and capabilities in WMS including robotics and voice, led by an industry-leading management team. We look forward to the strategic partnership with Körber and to leveraging our experience of growth acceleration with global software businesses, as well as partnering with management, to help Körber’s supply chain software business reach its full potential in this attractive market.”
KKR’s investment is being made via its flagship European private equity fund, KKR European Partners Fund V, which has a lengthy track record in strategic partnerships with founders, corporates and management teams. KKR is one of the most active investors focused on building leading global technology enterprises, with global tech investments including Cegid, Exact Software, Cloudera, Darktrace, MYOB, Onestream, Epicor, iValua, and Visma, among others. Across DACH, KKR has been investing on the ground for over 20 years primarily through strategic partnership deals such as in Axel Springer, Scout24, Wella, Unzer and SoftwareOne.
