Health & Safety Institute’s Acquisition Of Donesafe Combines The Individual Strengths Of Both Vendors
Health & Safety Institute (HSI), an EHS software vendor, has announced its acquisition of Donesafe, a cloud-based EHSQ software vendor. HSI had existing strengths in workplace safety training, chemical management and emergency care training. In purchasing Donesafe, HSI sought to benefit from the provider’s capabilities in health and safety management, quality management, supplier management and environmental initiatives. This acquisition is yet another by HSI—with investment support by Waud Capital Partners—and within the broader industry to expand the functionality of software platforms by combining individual strengths.
Corporate buyers’ preference for purchasing varied functionalities from one vendor is demonstrated by results from the Verdantix 2019 Global Corporate Survey, in which 67% of 403 senior EHS decision-makers said that single application architecture is very important or important in their purchase decision (see Verdantix Global Corporate Survey 2019: EHS Budgets, Priorities & Tech Preferences). HSI’s acquisition of Donesafe also reflects the market’s growing willingness to deploy on cloud-based architecture. In the same survey, 53% of respondents indicated their comfort using a private cloud for EHS software adoption, while 27% said the same for public cloud (see figure below).
Verdantix is tracking the continuing changes in the EHS software marketplace, as vendors merge and increasing levels of private equity funding expand the capabilities of individual providers and reduce the number of players. HSI’s acquisition of Donesafe exemplifies these changes and how software vendors are looking to improve their standing through M&A activities.