ORBCOMM Acquires Provider of Refrigerated Transportation Temperature Software
ORBCOMM Inc., a Rochelle Park, N.J.-based provider of machine-to-machine (M2M) solutions, acquired Euroscan Holdings, B.V., a global supplier of refrigerated transportation temperature compliance recording systems. Based in the Netherlands, Euroscan’s integrated turnkey systems ensure the safe and secure transportation of food by monitoring and assuring temperature compliance throughout the supply chain. Terms of the acquisition will be available in subsequent public filings.
Euroscan’s temperature recorders enable customers to comply with the European cold chain temperature and food safety regulations. Over the past few years, Euroscan began transitioning its recording product suite to an M2M wireless solution. Today, Euroscan has a worldwide installed base of 200,000 recording units of which approximately 10,000 are wireless subscribers. Euroscan generates a large portion of its business through original equipment manufacturer (OEM) factory installs on refrigerated assets, trucks and trailers.
This acquisition supports ORBCOMM’s long-term growth strategy of adding vertical expertise, technologies and geographic markets to strengthen its end-to-end solutions portfolio. ORBCOMM will leverage Euroscan’s European distribution channels to increase market expansion of ORBCOMM’s suite of M2M products and services in key industries such as transportation and heavy equipment. In addition, ORBCOMM expects that the scale and diversity of its global M2M solutions portfolio will drive growth for Euroscan’s distribution channels in the Far East, South America and South Africa.
As part of this transaction, Ameriscan, a Salisbury, Md.-based subsidiary of Euroscan and provider of temperature monitoring devices, will add scale and an expanded portfolio of cold chain monitoring services.
“The acquisition of Euroscan allows ORBCOMM to complement its North American leadership position in M2M solutions by adding a significant distribution channel in Europe and other key geographies where Euroscan has market share,” says Marc Eisenberg, chief executive officer of ORBCOMM. “By leveraging Euroscan’s suite of powerful asset monitoring, control technology and M2M solutions, ORBCOMM will be able to provide an even greater level of value, service and return on investment for a broader set of customers in the global M2M market.”