ROSH HAAYIN, Israel,
August 29, 2016 /PRNewswire/ --
Pointer Telocation Ltd. (Nasdaq: PNTR; TASE: PNTR) - a
leading developer, manufacturer and operator of Mobile Resource
Management (MRM), announced today that it has signed a binding
agreement to acquire Cielo Telecom, a fleet management services
company based in South Brazil.
Cielo Telecom manages fleet customers covering approximately 16,000
trucks. The closing of the agreement is subject to the fulfillment
of certain precedent conditions.
In consideration for this acquisition, Pointer will make a cash
payment of approximately BRL 21
million (approximately $6.5
million).
David Mahlab, Chief Executive
Officer of Pointer, "This acquisition will expand our customer
base and enable us to better penetrate the southern part of
Brazil and participate actively in
the truck segment of fleet management. Given our existing
infrastructure in Brazil, we see
strong synergistic potential from the combination of the newly
acquired business with ours, and we expect the acquisition to be
accretive as of the first day. We expect this acquisition to
position us as one of the leading Fleet Management companies in
Brazil. Following our acquisition
in South Africa two years ago,
this is another step in the execution of our global expansion
strategy; a strategy that combines organic growth and M&A,
which aims at positioning Pointer as one of the global leaders in
MRM and fleet management."
About Pointer Telocation
Pointer Telocation is a leading provider of technology and services
to the automotive and insurance industries, offering a set of
services including Fleet Management, Mobile Asset Management,
Stolen Vehicle Recovery, Vehicle Diagnosis and a comprehensive
solution in the field of Internet of Things. Pointer has a growing
list of customers and products installed in 50 countries.
Cellocator, a Pointer Products Division, is a leading AVL
(Automatic Vehicle Location) solutions provider for stolen vehicle
retrieval, fleet management, car & driver safety, public
safety, vehicle security and more.
About Cielo
Cielo was established in 1994 and operates in the field of Fleet
Management with strong presence in the Truck Segment in
Brazil, with a comprehensive set
of software and application tools for vehicle monitoring, driver
behavior management, driver working hour management, including a
wide range of blocking, tracking and telemetry devices and various
actuators for vehicle security and driver control. Cielo also
offers a 24 hours support center and vehicle recovery service,
specialized consulting services and provides innovative technology
oriented at fuel saving.
Contact:
Zvi Fried, V.P. and Chief Financial
Officer
Tel.: +972-3-572 3111
E-mail: zvif@pointer.com
Gavriel Frohwein/Ehud Helft, GK Investor Relations
Tel: +1-646-688-3559
E-mail: pointer@gkir.com
SOURCE Pointer Telocation Ltd
