Private equity-backed software company Infor is buying GT Nexus for $675 million as interest in cloud-based services continues to drive deals. (For more on how e-commerce services add to M&A, watch our video interview, below.)

Oakland, California-based GT Nexus develops cloud-based commerce software used by logistics providers and financial institutions. The target’s software provides a global order management system that allows users to coordinate with suppliers to handle shipping.

The business’ customers include Adidas (XETRA: ADS), Caterpillar (NYSE: CAT), Columbia Sportswear Co. (Nasdaq: COLM), DHL, Home Depot Inc. (NYSE: HD), Levi Strauss & Co., AP Moeller Maersk (CPH: MAERSKB), Pfizer (NYSE: PFE), Procter & Gamble (NYSE: PG) and UPS (NYSE: UPS). GT Nexus had raised $11.8 million in venture capital backing from ABN Amro Private Equity and Warburg Pincus.

Infor, headquartered in New York, develops enterprise resource planning software, which helps manufacturing companies handle production, including manufacturing.

"Together, Infor and GT Nexus will provide customers with unprecedented visibility into their supply chains to manage production and monitor goods in transit and at rest," says Infor CEO Charles Phillips. "In a complex, high velocity supply chain, all partners need to know what was ordered, when it was built, where it is in transit, if the order has changed, and has it cleared customs. Specialization and speed are moving the future of manufacturing into the commerce cloud."

Infor has been backed by San Francisco private equity firm Golden Gate Capital and Boston firm Summit Partners since 2012, when they partnered to merge and recapitalize Infor and Lawson Software. A Golden Gate affiliate picked up Lawson in 2011 for about $2 billion.

Credit Suisse and Bank of America Merrill Lynch were Infor’s financial advisers. Gibson Dunn & Crutcher LLP and Kirkland & Ellis LLP were Infor’s legal counsels. GT Nexus was advised by Morgan Stanley, Wilson Sonsini, Goodrich & Rosati, Cleary Gottlieb Steen & Hamilton LLP and KPMG.

Cloud-based software companies have drawn interest from private equity investors because the model provides recurring revenue, unlike older types of software. For more on the trend, see Plugging Into Software and Thoma Bravo & Others Bet Big on the Cloud.

For more on interest in e-commerce service providers, check out Retail Reboot: Investors Snatch Up E-Commerce Services and watch our video with Sterling Partners senior managing director Rick Elfman, below. 

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Corrected August 11, 2015 at 1:43PM: 3869102683001