Telit Wireless Solutions to Purchase Motorola Solutions' M2M Modules Line of Products
Telit makes an important step to substantially enhance its global position in the M2M market
Raleigh, NC – January 28, 2011 – Telit Wireless Solutions (AIM: TCM) and Motorola Solutions (NYSE: MSI) have signed a definitive agreement in which Telit will purchase Motorola Solutions' M2M modules line of products, and Motorola Solutions’ associated employees will join Telit. The sale is subject to customary closing conditions and regulatory approvals.
This acquisition would bring Telit’s consolidated pro forma revenues to approximately $180 million for the year ended December 31, 2010. This is equivalent to a pro forma market share of approximately 20% based on the current market analysis by Beecham Research.
Oozi Cats, CEO of Telit said: “This acquisition is a strategic milestone for our company. It will allow us to pursue the further expansion into the growing M2M market. We are confident that the combination will generate cost synergies and new opportunities for cross-selling of products and increased customer account development. Moreover, our company, as well as our customers, will profit from enhanced research and development capabilities, a broadening of Telit’s M2M product offering and the enhancement of M2M modules’ products through Telit’s commitment to long-term product development and support.”
In recent years, Telit successfully acquired and integrated companies with complementary offerings in various territories. Together with strong organic growth, this policy resulted in a sustainable growth leading to expanding revenues year by year. Telit believes that the acquisition will be earnings enhancing in the first full year of ownership.
Motorola Solutions will continue to focus all of its resources on core areas of strength with unique advantages: mission and business-critical communication solutions for government, public safety and enterprise customers.
Telit Wireless Solutions, a subsidiary of Telit Communications PLC (AIM: TCM), is an internationally leading specialist in wireless machine-to-machine (M2M) technology. Telit is the only company worldwide to offer communications modules for all of the various wireless technologies: it develops, produces and markets modules for GSM/GPRS, UMTS/WEDGE/HSDPA, CDMA and Short-Range RF applications. M2M applications rationalise business processes by enabling machines, equipment and vehicles to communicate with each other via mobile networks.
Telit products are used all over the world and marketed via Telit’s offices in Brazil, China, Denmark, France, Germany, India, Israel, Italy, Korea, Spain, the Republic of South Africa, Russia, Taiwan, Turkey, the UK and the USA. Telit’s global distributor network comprises specialists in wireless technologies and enhances the customer experience in over 56 countries worldwide. Further information about Telit and its products can be found at www.telit.com.
In Telit’s open Technical Support Forum clients receive assistance with their questions from the Telit Technical Support Team at any time. Furthermore, the open forum acts as an invaluable technical knowledge database for the entire M2M community. www.telit.com/en/services/technical-forum.php
Get a deeper insight into the M2M world with the new telit2market magazine at www.telit.com/ebook