WiseTech Global (ASX: WTC) has agreed to sell Expedient Software Pty Ltd, a small subsidiary it picked up as part of a much larger deal earlier this year. The decision came after discussions with the Australian Competition and Consumer Commission, which raised concerns about market competition. WiseTech says the sale won’t affect its financial targets or its broader strategy. But the move tells us something interesting about how regulators are watching big tech acquisitions more closely than ever.
Figure 1: Interior view of WiseTech Global’s office [Wise Tech]
ACCC WiseTech Agreement Leads to Voluntary Sale
The ACCC WiseTech discussions centred on Expedient Software, a business that came bundled with WiseTech’s acquisition of E2open Parent Holdings Inc in August 2025. Expedient wasn’t the reason WiseTech bought E2open. It was simply part of the package, operating quietly in Australia and New Zealand with fewer than 30 employees.
The ACCC expressed concerns about potential competition issues in the Australian market. Rather than fight a lengthy regulatory battle, WiseTech chose a different path. The Company voluntarily agreed to sell Expedient through an enforceable undertaking with the ACCC. This type of agreement is legally binding, meaning WiseTech has committed to completing the sale under regulatory oversight. The WiseTech divestiture removes the ACCC’s concerns without requiring formal legal proceedings.
WiseTech Divestiture Has Minimal Financial Impact
The business contributes less than 0.4% of WiseTech’s revenue guidance for the 2026 financial year. The WiseTech Expedient sale won’t change the Company’s financial guidance, which remains exactly as it was before the announcement.
There will be one accounting consequence worth noting. WiseTech expects to record a one-time, non-cash goodwill write-down somewhere between US$5 million and US$20 million. Goodwill is an accounting term for the premium paid above a business’s tangible assets when making an acquisition. The final amount will depend on the actual sale price and how the transaction is structured. But even at the high end, US$20 million is immaterial for a company with WiseTech’s scale.
WiseTech Expedient Sale Clears Path for E2open Integration
WiseTech CEO Zubin Appoo made this clear when explaining the decision. The Company maintains it never believed owning Expedient reduced competition in any Australian market. But fighting that battle with the ACCC would have been a distraction.
Figure 2: Australian Competition and Consumer Commission (ACCC) hearing room. [Abc.net.au]
The work ahead is integrating E2open into WiseTech’s operations. The E2open acquisition was about expanding WiseTech’s capabilities in global trade management and supply chain management. These are sophisticated software systems that help companies manage the movement of goods around the world. E2open brought WiseTech into new areas of the supply chain that complement its existing CargoWise platform. The WiseTech divestiture removes regulatory uncertainty so management can focus entirely on extracting value from this major acquisition.
Regulatory Scrutiny of Tech Acquisitions Intensifies
The ACCC WiseTech situation sits within a larger pattern of regulatory behaviour. Competition regulators around the world are paying closer attention to how big technology companies grow through acquisitions. They’re particularly focused on situations where a large company buys a smaller competitor, even if that competitor operates in a niche market.
Australia’s ACCC has been particularly active in this space. The regulator has blocked several high-profile mergers in recent years and forced other companies to divest parts of their businesses. The WiseTech Expedient sale shows how companies are adapting to this environment. Rather than risk a prolonged investigation, WiseTech chose to negotiate a voluntary solution. This approach lets the Company control the timing and process while maintaining a cooperative relationship with the regulator.
Market Response Shows Investor Confidence
WiseTech shares responded positively to the announcement. The stock traded at $68.46, up $0.64 or 0.943% on the day. Over the past two weeks, WiseTech shares have traded in a range between $61.49 and $130.50.
Figure 3: Six-month share price performance of WiseTech Global [ASX]
The modest positive reaction suggests investors view the ACCC WiseTech agreement as removing uncertainty rather than forcing an unwanted sale. The Company’s market capitalisation stands at $22.78 billion, reflecting its position as one of Australia’s largest technology companies. For a business of this scale, losing a subsidiary that generates less than 0.4% of revenue simply isn’t material.
E2open Acquisition Rationale Remains Unchanged
Understanding why WiseTech bought E2open helps explain why the WiseTech Expedient sale doesn not affect the Company’s strategy. E2open operates in global trade management and supply chain execution software. These systems help companies comply with international trade regulations, optimise logistics networks, and manage complex supply chains spanning multiple countries.
Figure 4: E2open leadership and team members at an industry event. [Instagram]
WiseTech’s existing CargoWise platform is primarily used by freight forwarders and third-party logistics providers. E2open serves a different but complementary market, including manufacturers and retailers that need to manage their own supply chains. By combining these capabilities, WiseTech aims to become what it calls “the operating system for global trade and logistics”. Expedient was never part of achieving that vision, which is why the WiseTech divestiture doesn’t change the strategic rationale.
WiseTech Global Continues Building an Operating System
WiseTech’s stated ambition is to build the operating system for global trade and logistics. This is an expansive vision that goes beyond traditional logistics software. The Company wants to create a unified platform that connects manufacturers, logistics providers, customs authorities, and every other participant in global supply chains.
Achieving that vision requires enormous scale. WiseTech serves over 17,000 customers across 193 countries, including 47 of the top 50 global third-party logistics providers and 24 of the 25 largest freight forwarders worldwide. The Company has added over 5,700 product enhancements to its CargoWise platform in the past five years alone. The ACCC WiseTech agreement and the resulting WiseTech Expedient sale don’t change this trajectory.
FAQ
Q1. Why did the ACCC require WiseTech to sell Expedient Software?
Ans. The ACCC raised competition concerns about WiseTech’s ownership of Expedient following the E2open acquisition. WiseTech voluntarily agreed to the sale to address these regulatory concerns.
Q2. How much revenue does Expedient contribute to WiseTech?
Ans. Expedient generates less than 0.4% of WiseTech’s FY26 revenue guidance. The WiseTech divestiture won’t affect the Company’s financial guidance.
Q3. What is the financial impact of the WiseTech Expedient sale?
Ans. The WiseTech divestiture will result in a one-time, non-cash goodwill write-down between US$5 million and US$20 million. The overall impact is expected to be immaterial.
Q4. Where does Expedient Software operate?
Ans. Expedient primarily operates in Australia and New Zealand with fewer than 30 employees. The limited geographic footprint made the WiseTech Expedient sale strategically acceptable.
