Verizon (NYSE:VZ) announces it will acquire Fleetmatics (NYSE:FLTX) for $60.00 per share in a deal valued at approximately $2.4B.
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Verizon Communications (VZ), which just last Monday announced its agreement to acquire Yahoo’s (YHOO) core assets for almost $6 billion including employee stock options, early Monday announced an agreement to buy Fleetmatics Group (FLTX) for $2.4 billion, or $60 per share.
The Fleetmatics transaction, subject to regulatory approvals and closing conditions such as the approval of Fleetmatics shareholders, is expected to close in the fourth quarter.
Fleetmatics shares were up 39.20% in premarket trading on Monday, having closed 2.87% down on Friday at $42.96.
Tobias Ryberg, senior analyst at Berg Insight, said Verizon Wireless and Vodafone reported quarterly M2M/IoT revenues in the range of € 150-200 million each in the first half of 2015 and could be on track to reach € 1 billion on an annual basis within a few years’ time.
In June, Verizon Telematics also announced the acquisition of Telogis, Inc., a global, cloud-based mobile enterprise management software company based in Aliso Viejo, Calif. The firm believes the transaction would speed up its position as a leading provider of fleet and mobile workforce management solution.
Fleetmatics, which is listed on the New York Stock Exchange, was founded in Ireland in 2004 and has its global headquarters in Tallaght in Dublin.
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It provides technology to help companies manage their vehicle fleets.
