Cority Acquires Enviance: A Formidable Powerhouse Vendor In A Vigorous EHS Software Market
Cority, a Toronto-headquartered EHS information management vendor serving more than 800 clients in over 70 countries, today announced its acquisition of Enviance, an EHS software vendor that also features among the market leaders in our 2019 EHS Software Green Quadrant study. At the time of the acquisition, Enviance had approximately 80 employees serving more than 400 clients globally. Terms of the deal were not disclosed. This acquisition follows closely behind Cority’s October 2019 purchase of Axion Health, an occupational and employee health software specialist provider, and subsequent to its private equity growth investment by Thoma Bravo in May 2019.
Beyond combining the assets and teams of two leading EHS software vendors, the acquisition reflects three key benefits. Firstly, both Cority and Enviance are laser focused on delivering innovation via multi-tenant, cloud architecture which ensures growth and profitability through quick deployments and low-hassle upgrades. Secondly, while both offer end-to-end EHS software platforms, Enviance’s strengths in environmental compliance is highly complementary to Cority’s strengths across incidents, audits and inspections, occupational health, industry hygiene, and quality management. Together, the combined entities will consist of more than 500 employees serving more than 1,200 clients globally across all industry verticals. Thirdly, Enviance’s core exposure to power utilities and oil and gas firms gives Cority a boost to its global industry diversification and ample cross-sell opportunities, which traditionally lean more toward manufacturing, pharmaceutical, healthcare, automotive, chemicals, medical devices, municipalities, and universities.
This acquisition is timely and directly addresses the anticipated growth in market demand. Verdantix research has found that incident management and environmental compliance rank as the top two priorities for software adoption by EHS processes on a firm-wide basis for 2020. In fact, one-third (33%) of the 403 EHS decision-makers that we recently interviewed plan to replace, upgrade or invest in new commercial EHS software for incident management during 2020, while one-quarter (24%) have the same plan for environmental compliance use cases. Among the survey respondents, they also expect to adopt software in 2020 for the areas of occupational health, industrial hygiene, ergonomics, and chemicals and hazardous waste compliance management. While the acquisition positions Cority very well for 2020 and beyond, the key to Cority’s growth strategy success will be to execute on ensuring all acquired entities are properly integrated into a seamless single platform architecture and user experience.
With this news, Cority demonstrates how it is aligning itself and its software capabilities in response to evolving EHS software market demands. In fact, the market has been on a tear in recent years, with over $3.5 billion worth of transactions taking place between 2016 and 2019 among major participants such as The Carlyle Group, CVC, Genstar Capital, Morgan Stanley Expansion Capital and Thoma Bravo. To learn more about the implications for the EHS software landscape, download our report “EHS Software Market Heading For A Big Realignment In 2020.”