Epicor Software wants to pave the middle of the road with gold. The company provides enterprise resource planning (ERP) software used by midsized manufacturers, retailers, service providers, and distributors operating across various industries. Customers use Epicor's software to integrate back-office manufacturing, human resources, and accounting systems, as well as customer relationship management systems used for sales, marketing, and customer support. The company's software includes collaborative applications that link employees, distributors, and suppliers, encompassing operations such as supply chain management, sourcing, and procurement. Private equity firm Apax Partners owns Epicor.
Change in Company Type
Private equity firm Apax Partners acquired Epicor in a 2011 for more than $975 million and took the company private. Concurrently, Apax bought Activant Solutions, a specialist in enterprise software for retail and wholesale distribution businesses, and combined Epicor and Activant to create a larger ERP software vendor with a more diverse client base.
Epicor has operations worldwide and its software is available in 30 languages, but international sales have only historically accounted for about 30% of revenue. The company primarily targets customers with annual sales between $25 million and $1 billion. Its software suites are developed for specific industries such as manufacturing, distribution, retail, financial services, and hospitality. These midsized businesses don't need expansive IT operations, so Epicor has developed its software to meet the cost and scalability needs of smaller enterprises.
The company operates in the US and is present in more than 150 countries in Europe, Asia, and the Americas.
As part of its growth strategy, the company uses acquisitions, strategic partnerships, and new product offerings and enhancements to bolster and upsell to its customer base. Epicor has also been creating products to serve smaller customers by adding more mobile and cloud computing functionality to its product line up. Such systems are designed to enable small distributors and manufacturers (with smaller budgets) to use a hosted, Web-based ERP system.
Mergers and Acquisitions
In 2012 the company acquired Internet AutoParts, a provider of business-to-business software for automotive replacement parts distributors and auto repair businesses. The deal extended Epicor's product line to the automotive aftermarket sector, particularly in the areas of parts distribution and shop management. Epicor also acquired one of its channel sales partners, Auckland-based COGITA Holdings, in 2012 to expand its presence in the Asia Pacific region, particularly in New Zealand and Australia. Later that year, Epicor bought Solarsoft Business Systems, which enhanced its product offerings for serving process manufacturers, such as the food and beverage, pharmaceuticals, and health care companies.