Sterling Commerce To Buy Comergent Technologies

Sterling Commerce, a subsidiary of AT&T (NYSE:T), has agreed to acquire Comergent Technologies Inc., a Redwood City, Calif.-based developer of sell-side ecommerce software. The deal is valued at approximately $155 million in cash. Sterling Commerce plans to incorporate Comergent products to provide customers with a unified end-to-end order fulfillment solution across the extended supply chain. This unified solution will enable customers to increase revenue, shorten sales and order fulfillment cycle times, and reduce overall supply chain costs. Comergent had raised around $77 million over three rounds of VC funding, including a $54 million second-round deal in 2000 at a post-money valuation of approximately $245 million. Backers include Amerindo, Cisco Systems, Crosspoint Venture Partners, Mobius Venture Capital, Morgan Stanley Venture Partners, Pivotal Asset Management and Van Wagoner Capital Management and Invesco Private Capital.