HeidelbergCement to acquire 45% stake in Command Alkon
Minority stake in technology firm marks a key step towards digitalization across heavy building materials sector
THOMA Bravo, one of the world’s leading software investment firms, are to sell a 45% stake in US-based Command Alkon Inc., a provider of supply chain technology solutions for the heavy building materials industry, to HeidelbergCement.
The new partnership between HeidelbergCement, Thoma Bravo and Command Alkon is expected to advance digital transformation across the construction materials supply chain, including more transparent industry standards for seamless connectivity, improved solutions to customers’ everyday pain points (eg digital ticketing, telematics etc.), a generally increased pace in innovation, and an acceleration to customers’ sustainability efforts.
HeidelbergCement have said that they will continue to autonomously own and develop HConnect, a proprietary digital product suite with more than 18,000 customers.
‘As part of our strategy ‘Beyond 2020’, our clear goal is to become the first industrial tech company in our sector,’ said Dr Dominik von Achten, chairman of the managing board of HeidelbergCement.
‘We have made significant progress in our independently developed HConnect digital customer experience since its development in 2018. The investment in Command Alkon and the partnership with Thoma Bravo now allows us to monetize the hidden potential of our assets and translate it into a new growth path for HeidelbergCement. Together, we will build the digital ecosystem of the future for the heavy building materials industry.’
Command Alkon’s products and service offerings include: software and technology for plant and site automation; materials ordering/scheduling; inventory and mix management; trucking logistics; fleet optimization; and reporting and analytics.
The acquisition – which is subject to customary closing conditions – is expected to be completed by the end of 2021. Thoma Bravo will keep a majority stake in Command Alkon, which they purchased last year.