Sierra Wireless, the leading provider of fully integrated device-to-cloud solutions for the Internet of Things (IoT), announced that it had acquired machine-to-machine device company Numerex for approximately $107 million.
The acquisition expands Sierra Wireless’ position as a leading global IoT pure-play and will significantly increase its subscription-based recurring services revenue.
Under the terms of the agreement, Numerex shareholders will receive a fixed exchange ratio of 0.18 common shares of Sierra Wireless for each share of Numerex common stock.
Upon completion of the transaction, Numerex will become a subsidiary of Sierra Wireless and Numerex shareholders will own approximately 10 percent of the common shares of Sierra Wireless on a fully diluted basis. Numerex’s debt of approximately $20 million including fees shall be repaid with Sierra Wireless cash.