The board of directors of Telular unanimously approved a proposed acquisition by Avista Capital Partners, based in New York City and recommended that Telular shareholders tender their shares in the tender offer. Telular shareholders are set to receive $12.61 per share in cash and the transaction is valued at $253 million, including net debt.
The proposed acquisition by Avista Capital Partners received fully committed financing and is expected to close shortly. According to its website, Avista Capital Partners is a private equity firm with over $5 billion under management and “specializing in investments primarily in growth oriented energy, healthcare, communications and media, industrial and consumer companies.”
This announcement represents a very positive event for our shareholders,” said Joe Beatty, chief executive officer of Telular. “We are proud of our 19 years as a public company, during which we believe we have served our shareholders well, and the partnership with Avista will allow the company to expand and build on its success to date. For our customers, we will continue to deliver the best remote wireless monitoring and tracking solutions available in the markets we serve,” added Beatty.
Telular is the parent company to Telguard, which produces wireless alarm monitoring controls, communication devices and interactive solution services. Telguard will continue its focus on these services and will be unaffected by the acquisition, according to Shawn Welsh, vice president of Market and Business Development for Telular. “For our Telguard customers this acquisition means business as usual,” said Welsh. “We will continue to operate in the same way that we do today, with a continued focus on strong customer service.”
He added that the acquisition is a positive affirmation of the company’s continued success. “The acquisition of Telular is further validation of the company’s leadership position in the machine-to-machine (M2M) and security communications space.”
