A Regional Company Transforms Into Not One, But Two Category Leaders
Backing a Founding Team with Vision, Resources and M&A Executional Support
Transaction Highlights
Over an eight-year partnership with Accel-KKR, TrueCommerce (originally known as Accellos) transformed itself from a middle-of-the-pack, regional player with a mix of supply chain and business connectivity software into a holding company serving a list of well-recognized customers including Siemens, Danone and Hubbell.
Key Facts
- Year of Investment: 2018
- Status: Current
- Migration from On-Premise to Subscription Model
- M&A Program
- Two Successful Exits
Business Overview
Accellos Holdings was founded in Colorado Springs by three friends and colleagues: Mike Cornell, Flint Seaton and Ross Elliott.
At the time of Accel-KKR’s investment in 2012, Accellos Holdings served small- and medium-sized businesses with warehouse management software, logistics management software (e.g., trucking software) and business connectivity software (connecting ERP systems to EDI networks).
Results
During the investment period, TrueCommerce grew revenues and profitability.
- In 2017, HighJump was sold to Körber AG, a strategic acquirer based in Germany.
- In late 2020, TrueCommerce was sold to Welsh, Carson, Anderson & Stowe. Accel-KKR currently retains a minority stake in the company.
- The three founding leaders were still the top three executives at the time of exit.
- TrueCommerce is one of the largest technology companies in Pittsburgh today.
- Accel-KKR established The Elliott Award in honor of co-founder Ross Elliott, recognizing the CEO within our portfolio for his or her exemplary spirit of servant leadership.
Value Created
Between 2012 and 2020, Accellos worked closely with Accel-KKR to drive organic and inorganic growth, and dramatically transformed its business along the way:
Migration
Underwent a significant strategic undertaking to migrate the business from an on-premise and license model to a full SaaS hosted delivery and subscription model.
Pricing
Implemented a new pricing strategy.
M&A
Embarked on a large M&A program spanning nearly a dozen add-ons during the investment period.
Competitor Acquisition
Acquired a competitor (HighJump Software) that was more than three times the size of Accellos’s business. HighJump served the higher end of the warehouse management software market, and also had a strong B2B EDI network to complement Accellos’s product suite.
Reorganization
Reorganized into two businesses, which brought organizational focus and clear market positioning.
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