Sierra Wireless to acquire Vancouver-based In Motion Technology
Sierra Wireless, Richmond BC, has entered into a definitive agreement to acquire In Motion Technology Inc., New Westminster BC, for $21 million US dollars in cash consideration, subject to certain customary post-closing adjustments.
In Motion is a leader in mobile enterprise solutions, providing rugged in-vehicle mobile routers tightly integrated with an advanced mobile-optimized security system and a powerful management and application platform. The complete solution enables organizations to connect and manage mobile operations, vehicles, and workforces more efficiently, reliably and securely.
With complementary product portfolios and channels, Sierra Wireless and In Motion will together provide the broadest choice of device-to-cloud solutions for enterprise customers, from simple gateways to full featured mobile routers, as well as a comprehensive suite of cloud services and applications. The combined company will hold a strong leadership position and unique capabilities in important growth segments, including public safety, transit, and commercial fleet.
“In Motion will strengthen our leadership position in M2M and broaden our Enterprise Solutions portfolio,” says Jason Cohenour, president and CEO of Sierra Wireless. “Both businesses are highly complementary and together will hold a unique competitive position. We will have the products, channels, and technology needed to offer the most comprehensive suite of solutions to our customers and expand our market share in high growth, high value markets such as public safety and commercial fleets.”
“We are experiencing unprecedented growth in the market for mobile enterprise solutions and joining forces with the clear industry leader will enable the combined organization to capture a greater share of the opportunity,” adds Dean Rockwell, CEO of In Motion Technology.
During 2013, In Motion generated $15 million US dollars in revenue and gross margin was 50 percent of revenue. Sierra Wireless will fund the purchase price from its existing cash balance.