Posted September 11, 2019

Shopify to acquire 6 River Systems

Shopify Inc., a cloud software company that helps retailers develop online storefronts, has agreed to acquire 6 River Systems Inc., a provider of collaborative warehouse fulfillment solutions.

Shopify will acquire all of 6 River Systems’ outstanding securities in a transaction valued at approximately $450 million, consisting of approximately 60 percent in cash and 40 percent in Shopify Class A Subordinate voting shares.

In June, Shopify introduced the Shopify Fulfillment Network, a fulfillment network designed to "ensure timely deliveries, lower shipping costs, and provide superb customer experience for merchants and their customers." According to the company, 6 River Systems will also continue to build and sell its solution for warehouses.

With the acquisition of 6 River Systems, Shopify will add a team with decades of experience in fulfillment software and robotics, including experienced leaders from Kiva Systems (now Amazon Robotics). Adding 6 River Systems’ cloud-based software and collaborative mobile robots called “Chuck” to the Shopify Fulfillment Network will increase the speed and reliability of warehouse operations, by empowering on-site associates with daily tasks, including inventory replenishment, picking, sorting and packing, the company says.

“Shopify is taking on fulfillment the same way we’ve approached other commerce challenges, by bringing together the best technology to help everyone compete,” said Tobi Lütke, CEO of Shopify. “With 6 River Systems, we will bring technology and operational efficiencies to companies of all sizes around the world.”

“By joining Shopify, we're changing the game of fulfillment. Together, we will help thousands of businesses improve their fulfillment operations, with an easy-to-learn solution that can more than double productivity and improve accuracy,” said Jerome Dubois, co-CEO and co-founder of 6 River Systems.