Montvale-based Micronet Enertec Technologies Inc. announced Wednesday that its subsidiary, Micronet Ltd., signed an agreement to acquire the Mobile Resource Management/FM business division of U.S.-based Beijer Electronics Inc.
Closing of the deal is expected by mid-June 2014, according to Micronet. Financial terms were not disclosed but Micronet is purchasing all related intellectual property, product rights, production files, customer base, sales and marketing network, sales leads and initiatves, technical support operations, all related agreements and the necessary inventory.
As part of the acquisition, all MRM/FM employees will join Micronet to ensure a successful transition and continued operations and growth of the company.
David Lucatz, Micronet Enertec CEO, said in a recent press release, "Experts estimate that the MRM/FM hardware market will exceed $2 billion during 2014-2016. This strategic acquisition better positions Micronet to gain a significant share of this dynamic growing market. The combined product lines including our recently launched Android-based 317 series and Beijer's products will offer a complete suite of MRM/FM applications."
Lucatz also said, "This acquisition strengthens Micronet's focus on the U.S. market, broadens our customer base and expands our operations into new verticals. As the revenues from our major client decline, this acquisition diversifies our client base and creates a healthier and more balanced Company. We're confident that the combination of the companies will ensure our future growth."