Borderfree is expanding its own borders to include DutyCalculator.
The global e-commerce platform announced yesterday that it is set to acquire Bundle Tech Limited, the operator of DutyCalculator, a provider of cloud-based global trade and customs compliance data services.
The acquisition, completed for a purchase price of approximately $22 million in cash, puts Borderfree in a position to further strengthen its global reach while expanding the company's trade compliance data services capabilities and bringing a more comprehensive offering to the marketplace.
What with DutyCalculator’s customers -- including retailers, service providers, importers and exporters and consumers -- being located primarily outside of the U.S., Borderfree stands to benefit from access to the company’s vast, cloud-based tools that are used to accurately classify products, calculate tariffs and receive up-to-date international trade and customs compliance information for nearly 100 countries.
The acquisition likewise reduces the need for Borderfree to source similar data from third parties. In addition to lowering Borderfree’s transactional costs, the technology will drive new long-term revenue opportunities.
“This is a major strategic win for Borderfree on multiple fronts,” said Michael DeSimone, CEO of Borderfree. “DutyCalculator accelerates our strategy to expand our presence in the European global e-commerce space, enhance our platform and data services capabilities and help our customers grow their global businesses.”
DutyCalculator, which is based in Brighton, U.K., will continue under the leadership of Andre Schmidt, the company's founder and CEO. Schmidt will expand his responsibilities to lead the combined company’s efforts with regard to data services and marketplace strategies.
Commented Schmidt: “Borderfree and DutyCalculator share the same vision for the growth of global e-commerce, and we’re excited to integrate our technology and product capabilities with Borderfree’s market-leading platform to deliver a broad range of e-commerce solutions to international customers."