Tactiq GlobalWorx merger.pdf

TACTIQ MERGES WITH GLOBALWORX, UNIFYING DSD SUPPLY CHAIN OPERATIONS

ON A SINGLE PLATFORM

MIDLOTHIAN, Va. – To support its growth strategy, expand its capabilities and bring greater transparency across the DSD supply chain, Midlothian-based Tactiq today announced its merger with GlobalWorx Inc.. The deal brings together two Richmond-based companies providing cutting-edge SaaS tools that streamline supply chains by managing the complex data behind the direct-store-delivery industry.

“DSD is complex and fragmented, and Tactiq is going to be the organization that unifies it,” Tactiq CEO Mark Devooght said. “We’re creating a single platform on which DSD can operate, putting an end to fractured supply chain communications. Our combined suite of products will help everyone across the supply chain – retailers, distributors and manufacturers – improve their profitability and grow their businesses intelligently. We’re able to do that by putting real-time, store-level data at everyone’s fingertips, helping to ensure products are on shelves when customers need them and invoices are paid within the agreed upon terms. That’s what we call winning retail.”

Tactiq serves manufacturers, distributors and small-format retailers, including CVS, Dollar General and Coca-Cola, with products for both out-of-stock management and a pioneering platform to simplify invoicing across ever-growing product volumes and complex pricing structures. GlobalWorx developed an industry-leading collaboration platform, serving grocery chains and other big-box stores, including national Top 10 brands such as Kroger, Harris Teeter and Food Lion.

Tactiq and GlobalWorx both were founded in the Greater Richmond region in the early 2000s. The combined Tactiq will operate from a new headquarters on Midlothian Turnpike. In the short term, operations will remain the same for existing Tactiq and GlobalWorx customers.

“Each company has demonstrated how innovative products bring greater transparency in product movement through this DSD ecosystem,” said Bill Lecznar, co-founder of GlobalWorx, who will continue to support Tactiq’s growth as Chief Strategy Officer. “Bringing these companies-and the smart minds behind the technologies-together makes tremendous sense and will allow us to keep pushing the envelope in these critical behind-the-scenes operations. Efficiency in this space means everyone can better serve their ultimate customers: today’s consumers, who expect a seamless shopping experience.”

Tactiq offers two primary products that solve root challenges in DSD operations:

• Pipeline: It's hard getting out-of-stocks right - the right product mix, right quantities, at the right time. Pipeline is a data and communications platform that helps retailers, manufacturers, and distributors harness store-level data to communicate about DSD products, optimize sales and create loyal customers across the supply chain.

• Invoi: DSD program management and billing is built from a complex data network. Invoi centralizes DSD program-level data, invoicing, and payments between DSD manufacturers, distributors, and retailers. Manufacturers use the tool to validate invoices and eliminate billing errors that cause payment delays. Retailers use it to manage price book integrity, consolidate DSD payments under a single vendor number, and decrease payments cost and time.

Following an organizational integration, Tactiq will roll out several impactful technology solutions, driving the industry towards a single platform solution that handles all DSD operations.

“We’re committed to making several significant product and technology investments through the end of this year, aimed at solving the DSD’s biggest industry challenges. It's an exciting opportunity for our team, the industry and consumers at large,” Devooght said.

Goodwin Procter served as Tactiq’s legal advisor for this transaction. For GlobalWorx, Stephens Inc. acted as exclusive financial advisor and Williams Mullen served as legal advisor.

ABOUT TACTIQ (pronounced tac-tic):

Tactiq’s technology suite is making it easier for retailers, manufacturers and distributors to communicate about DSD products, increase sales, and streamline supply chains. Privately owned and based in Richmond, Va., the SaaS company offers a retailer-focused, out-of-stock communications solution, called Pipeline, and Invoi, a platform that helps manufacturers manage authorized pricing and effectively bill retailers. To learn more, visit www.tactiqtech.com.