PowerFleet and MiX Telematics have entered into a definitive agreement to form one of the largest mobile asset Internet of Things (IoT) Software-as-a-Service (SaaS) providers in the world.
This powerful combination will form a scaled, global entity of choice focused on helping customers save lives, time and money by solving mission-critical business challenges.
“By leveraging our proven SaaS strategy across the combined business, spearheaded by our Unity platform and data highway, we firmly believe we will be extremely well positioned to drive incremental market consolidation. Realizing transformative scale, this transaction with MiX will provide the go-forward company with 1.7 million subscribers, and the ability to sell additive and accelerated AI and data-powered software solutions to a truly global set of customers,” said Steve Towe, Powerfleet CEO, who will continue serving as CEO of the combined Powerfleet company.
Stefan Joselowitz, CEO, MiX Telematics, intends to retire at the conclusion of this transaction but plans to stay on a shareholder of the new combined entity.
Joselowitz said: “We strongly believe that Powerfleet’s Unity strategy and our combined scale perfectly positions us to revolutionize the mobile asset IoT SaaS industry and Drive transformative growth. As a shareholder I am very excited about how this combination will accelerate the achievement of our shared strategic goals.”
The agreement is expected to create a day one business with a total revenue of $279m including $210m of recurring high-margin SaaS revenues and combined service gross margins of 67%.
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