Jaggaer, a leading AI-powered procurement solutions provider, has officially completed its acquisition of Ivoflow. Consequently, the company now offers stronger spend and price intelligence for direct materials. Ivoflow, based in Koblenz, Germany, specializes in this niche. Notably, the deal closed on September 11, 2026.
Furthermore, this acquisition supports Jaggaer’s broader mission. Indeed, the company aims to build the industry’s most intelligent procurement platform. As a result, customers can now tackle a persistent challenge more effectively. Specifically, organizations often struggle to convert massive data volumes into real savings. Therefore, this partnership directly addresses that gap.
Additionally, Ivoflow brings true spend decision intelligence to the table. Instead of only analyzing historical Spend and price intelligence, the combined platform now guides better decisions. For instance, procurement teams can identify overpayments against market conditions. Similarly, they can pinpoint the biggest savings opportunities across suppliers and categories.
Closing a Costly Gap for Manufacturers
Direct materials typically account for 50% to 70% of the cost of goods sold. However, fewer than 2% of manufacturers use dedicated spend and price intelligence tools. Consequently, most still compare supplier prices manually through spreadsheets. As a result, they often lack clarity on fair market pricing.
Meanwhile, Ivoflow directly solves this problem. Its platform connects ERP data with live market inputs. These include commodity indices, currency shifts, and raw material costs. Thus, it recalculates fair pricing at the individual part level. Ultimately, this empowers buyers to negotiate stronger contracts. Notably, companies like Georg Fischer, Sumitomo, and ZF Lifetec already rely on Ivoflow for this purpose.
AI-Driven Verification Strengthens Procurement Decisions
Moreover, suppliers frequently request price increases citing rising costs. However, verifying these claims manually takes significant time. Therefore, many requests get approved without proper scrutiny. Ivoflow’s AI now automates this verification process. For example, one supplier’s proposed 6% increase was actually justified at only 1.3%. Similarly, the platform proactively flags pricing that drifts from market norms.
Investment and Leadership Continuity
Going forward, Jaggaer plans to invest heavily in Ivoflow’s team and roadmap. Specifically, this includes expanding AI capabilities like scenario modeling. Meanwhile, Ivoflow co-founders Daniel Demuth and Nicolas Neubauer will continue Spend and price intelligence leading their team.
“Ivoflow will enable buyers to manage more of their direct materials within a single platform, bringing powerful market and cost intelligence into supplier negotiations. This means more transparent, fact-based conversations with suppliers, stronger partnerships, and better commercial outcomes. We see real opportunity to invest in the team, expand the platform, and accelerate what we can deliver together,” said Andrew Roszko, Chief Executive Officer of Jaggaer.
“We built Ivoflow to help manufacturing companies become leaders in cost excellence and drive profitability. Joining Jaggaer gives us the reach and platform to bring that capability to many more customers and accelerate what we set out to build. We are very much looking forward to what lies ahead and to becoming part of the Jaggaer team,” said Nicolas Neubauer, Co-Founder of Ivoflow.
“Jaggaer gives us the opportunity to help shape the future of how manufacturing enterprises manage their spend and identify savings. By combining Ivoflow’s capabilities with Jaggaer’s team, reach and platform, we can accelerate our roadmap, expand our AI capabilities, and build toward becoming the leading provider of spend and price intelligence for manufacturers globally,” said Daniel Demuth, Co-Founder of Ivoflow.
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News Source: Businesswire.com
