Vancouver based Sierra Wireless is to acquire Australian IoT company, M2M One to expand its IoT Solutions business in the Asia-Pacific region.
Sierra Wireless announced the acquisition only in a footnote to Q3 2019 results released on 5 November, saying it had paid $C18.8m in cash, plus approximately $C1.0m for the retirement of certain obligations.
It described its acquisition as being “the M2M Group of companies”, saying: “The M2M Group is focused on connectivity services and IoT cellular devices with a strong history of IoT leadership and solid carrier relations in the region,” Sierra Wireless said.
However, M2M describes itself as ‘M2M One’. The group also includes another Australian IoT company, M2M Connectivity.
“The business is an excellent strategic fit with our IoT Solutions business with slightly more than half of the M2M Group’s revenue coming from subscription-based recurring revenue,” Sierra Wireless said.
“This segment of the business has been growing rapidly over the last several years. The M2M Group’s revenue in the last twelve months was $US17.9m, of which $US9.2m was recurring subscription-based revenue.”
M2M announced the move by saying “Sierra Wireless … are developing leading edge products and services that will be the cornerstone of our future offerings. As a result, the M2M One team will be better placed to provide our personal service, backed by the best available technology.”
Sierra Wireless was founded in 1993. It has more than 1,300 employees globally and operates R&D centres in North America, Europe and Asia.
