WiseTech buys FRDM.ai for up to $24.31M to build VerifyWise compliance tool

What's the deal? WiseTech Global (ASX:WTC) has signed a binding agreement to acquire California-based FRDM.aiDealroom has a profile for this one. Try Dealroom →, a developer of AI-powered supply chain risk and compliance intelligence software. The deal carries an upfront consideration of $10 million in cash and WTC shares, with all-cash earn-outs of up to $14.31 million.

What each side brings: WiseTech develops logistics execution software and trade compliance tools. Founded in 2018, FRDM.ai maps supplier networks beyond direct suppliers and scores risks — including modern slavery, geopolitical, and human rights risks — across multiple tiers of the supply chain in real time.

The product angle: FRDM.ai's risk intelligence will combine with WiseTech solutions including BorderWise, Denied Party Screening, and Global Knowledge to create VerifyWise, an AI-enabled tool to verify identity and validate trade data across the supply chain. Chief innovation officer Richard WhiteDealroom has a profile for this one. Try Dealroom → has worked with FRDM.ai founder Justin DillonDealroom has a profile for this one. Try Dealroom → for more than nine months to bring the company in.

What's the endgame? The acquisition supports WiseTech's aim to be "the operating system for global trade and logistics." It extends compliance from transaction-level screening to network-level, multi-tier verification, and opens cross-sell opportunities across WiseTech's network of more than 22,000 logistics providers and over 500,000 connected enterprises.

"Our shared vision is to help organizations proactively identify and mitigate supply chain regulatory issues more easily," said chief executive officer Zubin Appoo.

Why now? Tightening rules around modern slavery, human rights, and geopolitical exposure are pushing companies to look deeper into their supplier networks. Dillon said joining WiseTech positions the platform "to scale our global supply chain risk and compliance offering."

The signal: Compliance is becoming a data-and-network business, not a box-ticking one. By folding FRDM.ai into VerifyWise, WiseTech is betting that the more participants verify and enrich shared datasets, the more valuable — and defensible — the network becomes. The transaction is expected to complete on August 3, 2026, subject to customary conditions.

Read more: AP News