Sierra Wireless, Inc. (NASDAQ: SWIR) (TSX: SW), the IoT solutions provider that combines devices, network services and software to unlock value in the connected economy, has completed the previously announced acquisition of the M2M group of companies (“M2M Group”) in Australia, the company said.
Total cash consideration paid to the shareholders of the M2M Group was USUSD 19.6 million (USUSD 17.0 million, net of cash acquired) plus approximately USUSD 1.1 million for the retirement of certain obligations, subject to normal working capital adjustments.
The M2M Group is focused on IoT connectivity services and cellular devices in Australia, and the acquisition expands Sierra Wireless´ IoT solutions business in the Asia-Pacific region. The business is an excellent strategic fit with our IoT Solutions business with slightly more than half of the M2M Group´s revenue coming from subscription-based recurring revenue.
The M2M Group´s revenue for the 12 months ended November 30, 2019 was USUSD 19.0 million, of which USUSD 9.6 million was recurring subscription-based revenue. This segment of the business has been growing rapidly over the last several years. The M2M Group has a strong management team and solid carrier relations in the region.
Sierra Wireless is the IoT solutions provider that combines devices, network services and software to unlock value in the connected economy. companies globally are adopting IoT to improve operational efficiency, create better customer experiences, improve their business models and create new revenue streams. For more information, visit www.sierrawireless.com.