M2M specialist Kore Wireless has bought rival RacoWireless, as it looks to broaden its reach within the Internet of Things sector.
The combined company will provide a portfolio of “connected technology, location aware solutions and management tools”, Kore said. It added that the deal would allow it to offer its customers access to a more diverse set of development and management solutions.
Private equity firm Abry Partners recently bought a majority stake in Kore, allowing it to make the all-cash bid for Raco. No financial details were revealed but the combined companies will serve more than three million subscribers using services in more than 110 markets around the world.
Alex Brisbourne, CEO of Kore, said: “We are standing at a historic inflection point in our industry where scalability and innovation are critical, and the financial partnership with ABRY delivers the capital and expert support necessary to rapidly develop the scale demanded by global customers in what has so far been a fragmented market.
“Strategic acquisitions both in advanced connectivity and richer applications solutions are an important goal, as scale and global reach are of paramount importance to our large applications and enterprise customers. These customers seek to leverage new M2M technologies that enable more efficient, innovative, and in some cases, disruptive business models going forward.”
Raco’s CEO and President John Horn will become Executive Vice-President and Chief Strategy Officer of Kore following the acquistion, which is expected to be completed by the end of the year.
Horn said: “This is a unique opportunity that will redefine the IoT/M2M industry, and create a company that has the right scale and focus to shape the course of the Internet of Things.”