Singaporean e-commerce company Synagistics has signed a term sheet to acquire a controlling stake of at least 80% in a prominent China-based software-as-a-service ( SaaS ) company in an acquisition that marks a transformative move, the company says, “to strengthen Synagistics’ position in the rapidly growing digital commerce and AI [artificial intelligence] ecosystem across China and Southeast Asia”.

The unnamed target company, Synagistics points out, is one of China’s foremost SaaS platforms, providing comprehensive omnichannel digital commerce, smart retail and supply chain solutions businesses across diverse sectors, ranging from fast-moving consumer good and beauty to apparel.

The target company’s expansive suite of solutions has powered the businesses of over 30,000 enterprise clients in China. The platform currently processes over 4 billion orders annually with a gross merchandise value exceeding 500 billion yuan ( US$69.58 billion ) and is deeply integrated with 100-plus domestic and international commerce channels.

This acquisition positions Synagistic to immediately capitalize on China’s booming digital transformation market, which is projected by IDC to reach US$733 billion by 2028, growing at a compound annual growth rate of 15.6%.

The transaction will create a powerful union of Synagistics’ proprietary AI and Big Data platforms— the newly launched Geene AI and Synagie —with the target’s large-scale SaaS infrastructure and client base.

“This acquisition will redefine Synagistics’ role in the global digital commerce space,” states Clement Lee, the company’s executive chairman. “The target company’s scale, client base and infrastructure offer us a unique growth engine. Combined with our AI capabilities, we believe this could materially uplift our valuation and unlock significant shareholder value.”