Perfect Commerce Acquires Commerce One

Company secures outright ownership of core technology, eyes expanded global presence and new revenue streams

Company secures outright ownership of core technology, eyes expanded global presence and new revenue streams

Kansas City, MO — February 7, 2006 — On-demand supplier relationship management (SRM) specialist Perfect Commerce has acquired Commerce One, the B2B e-commerce solutions provider and e-marketplace pioneer.

Commerce One helped create B2B e-commerce by offering solutions to bring suppliers and buyers together over the Internet in e-marketplaces. With the acquisition, Perfect Commerce secures complete ownership of Commerce One core technology and intellectual property, an expanded global presence and new revenue opportunities.

All Commerce One operations will be integrated into Perfect Commerce under the leadership of chairman and CEO Sandy Kemper. Commerce One President Ches Martin will join Perfect Commerce in a senior leadership role, initially focusing on merging the operations of the two organizations. The professional services team of Commerce One, located in Greenville, S.C., will join Perfect Commerce in a variety of roles.

"My interviews with Commerce One customers went extraordinarily well, and we are particularly pleased to have gained such a strong new base of high volume, active buyers and supplier clients in Europe," said Kemper.

"I am extremely optimistic about the acquisition of Commerce One by Perfect Commerce and believe it is the most natural progression for these two companies," said Martin. "The Greenville team and I look forward to working with Perfect Commerce management and staff to ensure a smooth merging of the two organizations and to continue to provide outstanding customer service."

By acquiring Commerce One, Perfect said that it will be able to continue aggressively growing transaction volume within its Open Supplier Network (OSN), as well as access an established base of European customers and deliver on-demand software-as-a- service (SaaS) solutions to a global marketplace. Prior to this announcement, the two companies enjoyed a relationship and shared several joint customers, with many Commerce One clients utilizing The OSN.

"With the acquisition of Commerce One, Perfect Commerce completes a strategy it began a few years ago when it acquired the Commerce One supplier and transaction network," said Tim Minahan, chief services officer at technology advisory firm Aberdeen Group. "The deal reaffirms Perfect Commerce's roll-up strategy for the SRM market, stabilizes its SRM suite and adds more global marquee companies to Perfect's customer base."