Fifth Gear is a tech-enabled e-commerce services company that provides order management, fulfillment, value-add processing, contact center, freight management, account management, and business support services
Fifth Gear was seeking a strategic buyer to support the next phase of its growth plan. Becoming part of larger organization was considered an important strategic step for its go-to-market offering. By combining its unique complex fulfillment capabilities and integrated e-commerce services platform, Fifth Gear would deliver a seamless online shopping experience.
Given its understanding of the e-commerce services industry and relationships with its key players, G2 was engaged to act as the exclusive sell-side advisor responsible for running a targeted, discreet, and high-touch process for the sale of Fifth Gear.
The transaction was successfully executed through a sale to Speed Commerce, Inc. (Nasdaq: SPDC), a leading provider of omni-channel e-commerce services – including web development and hosting, managed and marketing services, order and inventory management, pick and pack, returns processing, and 24/7 customer care. Total consideration included $55MM in cash at closing, with an additional contingent payment based on future performance – which equates to a total purchase price multiple of roughly 1.0x revenue.