Under the terms of the agreement, Activant, a provider of vertical business management solutions, will pay Intuit about $100 million in cash, subject to certain adjustments, to purchase the Intuit Eclipse business. The agreement, signed on July 2, is expected to close this month.
Intuit Eclipse is a provider of business management solutions for wholesale distributors in segments ranging from electrical, plumbing, HVAC and building materials to industrial, janitorial and other durable goods supplies.
“Intuit Eclipse has built a loyal customer base with a strong product offering that will complement Activant’s technologies, and give customers a broader set of solutions to grow their businesses and better serve their customers,” Pervez Qureshi, president and CEO of Activant Solutions, said in a statement.
“The addition of the Eclipse product strengthens Activant’s suite of products targeting the wholesale distribution industry, and at the same time the divestiture allows Intuit to focus on its core businesses,” David Merenbach, vice president of Intuit-branded software businesses, said in a statement.
Asked what potential impact this might have on PCHP wholesalers, Kevin Price, the director of ASA’s Center for Advancing Technology, said, “The recent acquisition of Eclipse by Activant should be a positive development. While Eclipse’s previous owner, Intuit, is well known for products like Quickbooks and TurboTax, Activant can be described as more distributor-centric. Well-known platforms, such as Prophet 21 and Prelude, lead Activant into just about every hard-goods distribution market one can think of.”