Woodcliff Lake-based I.D. Systems, a provider of enterprise asset management and industrial Internet of Things (IoT) technology, has acquired Pointer Telocation Ltd. for approximately $140 million, the company announced Wednesday.
The $140 million total is made up of approximately $72 million in cash and about 11 million share of PowerFleet Inc., a newly-created holding company. The acquisition is expected to close this summer.
Monies will be funding through a combination of a $50 million convertible preferred equity investment by Abry Partners and a $30 million debt financing and $10 million revolving credit facility by Bank Hapoalim.
I.D. Systems CEO Chris Wolfe and CFO Ned Mavrommatis will lead the combined company with Pointer CEO David Mahlab serving as CEO international, and as a member of the PowerFleet board. Pointer CFO Yaniv Dorani will serve as deputy to the CEO international.
In conjunction with the funding Abry Partners’ John Hunt, managing partner, and Anders Bjork, principal, will join the PowerFleet board of directors.
Pointer Telocation is a Rosh Ha’ayin, Israel-based provider of telematics and mobile IoT solutions to automotive, insurance and logistics companies. According to I.D. Systems, its technology is currently deployed in approximately three million light and heavy commercial vehicles across 80 countries.