Verizon Communications said it has inked a deal to acquire Fleetmatics Group, a Dublin, Ireland-based provider of fleet and mobile workforce management products.
The deal, at $60 per share in cash, is valued at about $2.4 billion. The acquisition of Fleetmatics follows one in June in which Verizon Telematics acquired Telogis, a cloud-based mobile enterprise management software company based in Aliso Viejo, Calif.
Fleetmatics is known for a Web-based platform that gives fleet operators visibility into areas such as vehicle location, fuel usage, and speed and mileage.
Fleetmatics has more than 37,000 customers and north of 737,000 “subscribed vehicles.” Per its web site, Mediacom, Time Warner Cable (now part of Charter Communications) and Virgin Media (part of Liberty Global) are among Fleetmatics’ customers.
"Fleetmatics is a market leader in North America -- and increasingly internationally -- and they've developed a wide-range of compelling SaaS-based products and solutions for small- and medium-sized businesses," Andrés Irlando, CEO of Verizon Telematics, said in a statement.
“Fleetmatics brings over 37,000 customers, approximately 737,000 subscribers, a broad portfolio of industry leading products, and a team of 1,200 professionals focused on solving the critical challenges of businesses that deploy mobile workforces,” added Fleetmatics CEO Jim Travers. “We are excited to partner with Verizon in fulfilling the mission of becoming the largest mobile workforce management company in the world.”
They expect to close the deal in Q4 2016.
PJT Partners and Wells Fargo Securities, LLC are acting as financial advisors to Verizon. Cleary Gottlieb Steen & Hamilton LLP, A&L Goodbody and Macfarlanes LLP are acting as legal advisors to Verizon. Morgan Stanley is acting as financial advisor to Fleetmatics. Goodwin Procter LLP and Maples and Calder are acting as legal advisors to Fleetmatics.