For years, Catalyst International was a leading public WMS/SCE vendor before missteps by its previous management team caused serious problems in strategy and execution. Over the past few years Catalyst's turnaround strategy has returned it to growth and profitability. As a result, it has recently been acquired by ComVest, a wealthy, private investment firm. This development may indicate private equity investors' renewed interest in this market and might validate the company's turnaround strategy that began in late 2001. Still, the question remains whether the anticipated infusion of capital from ComVest will enable Catalyst to become a consolidator and rejoin its mightier direct competitors in the industry's upper echelon.
unsuccessful integration of acquisition
losses, including 1) an unsuccessful attempt at utilizing purchased development of ISI ( Information Strategies , Inc .) for a Windows NT version of its Catalyst WMS product, 2) premature expansion of its service and maintenance staff in the US and overseas, and 3) massive turnover of its direct sales force in 1997. Further, in spite of its deep expertise and functionality in WMS, in the 1990s, Catalyst would often lose deals to competitors offering broader functionality to clients who anticipated future