The combined business revenues total $279 million, including $210 million in recurring SaaS revenue.
Creating a 1.7-million subscriber base, Powerfleet PWFL -6.94%↓ and MiX Telematics MIXT -1.94%↓ announced this week that they will merge to form as a mobile IoT Software-as-a-Service provider. The companies say that the all-stock transaction, expected to close in the first quarter of 2024, will have a combined revenue of $279 million.
After the transaction’s close, the joint entity will be branded as Powerfleet, with that company’s Nasdaq listing. The entity, with more than 1,800 employees, will combine engineering and technology teams.
New Jersey-based Powerfleet believes the deal will create cross-sell and upsell opportunities for its Unity Platform, modular software and AI-driven data solutions to a combined base of 7,500 enterprise customers. For its part, MiX Telematics, a fleet and mobile asset company founded in 1996, has delivered SAAS solutions to 1 million subscribers in more than 120 countries.
“Realizing transformative scale, this transaction with MiX will provide the go-forward company with 1.7 million subscribers, and the ability to sell additive and accelerated AI and data-powered software solutions to a truly global set of customers,” said Steve Towe, Powerfleet’s CEO, in a statement.
Towe will remain CEO of Powerfleet, with David Wilson serving as CFO. MiX CEO Stefan Joselowitz will retire. A new board of directors will be formed with Michael Brodsky serving as chairman and Ian Jacobs, MiX’s current chairman, joining with another appointment to be named from the company.
