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u-blox Acquires SIMCom Cellular Module Product LineTHALWIL, Switzerland, January 20, 2017 /PRNewswire/ -- Shanghai-based SIMCom Wireless is one of the world's leading machine-to-machine (M2M) wireless module and solutions suppliers. In an asset deal worth USD 52.5 million, u-blox is acquiring the company's cellular modem products, R&D team and customer base, which will expand the u-blox cellular product range and make it one of the world's largest suppliers of cellular modules. (Logo: http://photos.prnewswire.com/prnh/20150826/261282LOGO ) u-blox (SIX: UBXN), a global leader in wireless and positioning modules and chips, today announced an asset deal with Shanghai-based SimTech Group Company Ltd. that will give u-blox control over the company's cellular modem products (known as SIMCom Wireless), patents and know-how, R&D and sales staff, and customer base. The deal significantly expands u-blox's existing cellular product range and makes it a major supplier of cellular modules worldwide. The acquisition firmly establishes u-blox as a leader for a range of 2G, 3G and 4G products and creates new economies of scale. The acquisition of SIMCom's product portfolio offers additional solution options and price points which will widen u-blox's customer base and increase its geographical reach. The deal significantly increases the cellular module business in Asia, primarily China, and generates increased revenue in Europe and America. The larger scale will also provide the eventual opportunity to incorporate the recently announced u-blox's cellular chips into select modules in the combined portfolio. Listed on the All SIMCom's existing products will remain available under the SIMCom's brand name. Subject to closure, u-blox adjusts its guidance figures for 2017. The company now expects revenues to reach between CHF 485 and 515 million, with profits in the region of CHF 60 and 65 million including integration costs. Details can be found in the table below. (Photo: http://mma.prnewswire.com/media/459744/u_blox_revenue_Infographic.jpg ) A supplementary slide presentation can be downloaded here in PDF format. u-blox will host a press conference for investors on Monday 23 January, 9.30am - 10.30am CET at the SIX Convention Point in Zürich. The press release is available as PDF at u-blox's website. Financial calendar 2016 Full year results: March 16, 2017 Annual general meeting: April 25, 2017 Disclaimer
SOURCE u-blox |