Jason Sandefur

Activant Solutions Inc. has agreed to acquire Prophet 21 for $215 million. Both software firms specialize in the wholesale distribution industry.
Prophet 21, founded in 1967, acquired fastener software developer Faspac in 2003.
Activant CEO Larry Jones said the acquisition is part of a growth strategy in vertical business management for small- and medium- size businesses.
“Profit 21″s next generation business management solution, Commerce-Center, and e-commerce offering, Trading Partner Connect, give Activant a more comprehensive solution set that deepens our market expertise and leadership in the wholesale distribution industry,” Jones remarked.
In addition to the fastener industry, Prophet 21 provides software in the industrial, electrical, fluid power, medical, HVAC, plumbing, tile, paper, packaging and janitorial industries.
Prophet 21 CEO Chuck Boyle noted that both Activant and Prophet 21 are focused on distributors. “Leveraging the combined resources of both products will help our customers grow their businesses to the next level,” Boyle commented.
Prophet 21 becomes a newly formed subsidiary of Activant.
The deal is expected to close in September, and the purchase price is subject to “certain adjustments.”
Austin, TX-based Activant, founded in 1972, has more than 20,000 customer locations.
Faspac had been the most visible fastener software company in the industry. Partners and founders Margaret Jackson and Neil Hadfield were active in fastener associations and on technical committees.
Prophet 21 reported 70 fastener company customers when it acquired Faspac with 370 customers.
Faspac was founded in 1979 by Bill Vollmer and Dennis Marteeny of Western Fastener of San Diego, along with Jackson and Hadfield, as Western Pacific Data Systems. Jackson and Hadfield bought out Vollmer and Marteeny in 1981 and went on to sell more than 500 systems to the fastener industry over the next 22 years.
The Faspac Classic system began its development in 1979 as a software system for fastener distributors, designed to handle purchasing and receiving, sales order entry and accounting functions.
Prophet 21 was a publicly held company until January 2003, when it was taken private by the management team. Web: p21.com or activant.com 2005 FastenerNews.com