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GNX and the WorldWide Retail Exchange (WWRE) are scheduled to announce this morning that they will merge their two businesses, combining “their technology solutions into a single platform that connects retailers, manufacturers, and their business trading partners to more efficiently and effectively share information and manage work processes. The new company will leverage the greater scale economies to reduce unit costs and drive adoption of industry standards, and will operate the definitive forum for retail best practices sharing” – and will, if things go as planned, help its retailers to compete more effectively with the supply chain efficiencies of Wal-Mart.

The merger has been approved by the boards of each company. The name of the merged organization is still to be determined. Christopher Sellers, the current CEO of WWRE, will serve as Executive Chairman, and Joe Laughlin, current CEO of GNX, will be CEO of the new company.

According to a statement released by the company, “the combined entity is backed by the world’s largest retailers and suppliers, including: Aeon, Ahold, Albertsons, Auchan, Best Buy, Carrefour, Casino, Coles Myer, CVS, Delhaize, El Corte Ingles, Federated, KarstadtQuelle, Kingfisher, Kroger, Lotte, Metro, PPR Group, Safeway, Sainsbury’s, SCA Hygiene, Sears Holdings, Tesco and Walgreens. With more than 8,000 retailer and manufacturer users to date between GNX and WWRE, the new company will bring together a critical mass of the world’s largest retailers on a single platform. The resulting trading partner overlap is expected to accelerate adoption of best practices in trading partner collaboration and relationship management for the entire retail industry.”
KC's View:
Since GNX and WWRE were founded more than five years ago, the likelihood of a merger has long been speculated about…so much so that a lot of people will read this story and say, “What took ‘em so long?”

Still, it seems like an idea both effective and efficient.