Omnitracs LLC has agreed to acquire the assets of Shaw Tracking, a fleet management solutions provider in Canada, from Shaw Communications Inc. No financial terms were released for the deal, which is expected to close this summer. Omnitracs, a Dallas-based fleet management solutions specialist, said the buy puts it at the forefront of responding to major changes in the Canadian transportation industry. Omnitracs has been backed by U.S. private equity firm Vista Equity Partners since 2013. The Wall Street Journal recently reported that Vista is planning to sell the business for as much as US$2 billion.
Omnitracs to Acquire the Assets of Shaw Tracking, Expand Canadian Presence
The combined organization will offer Canadian transportation companies unparalleled expertise in fleet management solutions, while further preparing Canadian carriers for coming transportation regulations
DALLAS, TEXAS and MISSISSAUGA, ONTARIO–(Marketwired – June 1, 2017) – Omnitracs LLC, a global pioneer of fleet management solutions to transportation and logistics companies, today announced that it has signed an agreement to acquire from Shaw Communications Inc. the assets of Shaw Tracking, the leading fleet management solutions provider in Canada. The terms of the transaction, expected to close summer 2017, subject to regulatory approval of the transfer of operational licenses, were not disclosed.
Through the combination of Omnitracs and Shaw Tracking, Canadian fleet customers will have access to the comprehensive Omnitracs product and service portfolio. In addition, carriers will benefit from a more seamless user experience, with direct access to best-in-class technology solutions with exceptional customer service support and infrastructure that addresses current and future demands.
“We’re very pleased to bring the operations of Shaw Tracking into the Omnitracs family as we further our mission to transform transportation by providing innovative solutions to our customers,” said John Graham, chief executive officer, Omnitracs. “This acquisition is another key step in expanding our global footprint in the technology transportation industry, thereby providing these critical solutions to the ever expanding transportation industry.”
Shaw Tracking has been the exclusive Canadian distributor of Omnitracs fleet management solutions for over 25 years, helping to increase efficiency and reliability for customers. The company distributes a wide-range of world-class solutions, including GPS vehicle tracking products, fleet management software, and professional services for additional support. Shaw Tracking will be integrated into the Omnitracs solution portfolio, further expanding Omnitracs’ customer base and reach into Canada.
“The Canadian transportation market represents a significant and important opportunity for us,” explained Mike Ham, general manager of Omnitracs, Canada. “Shaw Tracking is a well-respected brand among fleets throughout this country, with a rich 27-year history. As the Canadian market changes and government regulations unfold, the transportation industry will face some unique challenges requiring fleets across the country to evolve with new technologies. This acquisition puts Omnitracs at the forefront of responding to these changes within the Canadian market.”
“We deeply appreciate the service and contributions made by the people at Shaw Tracking and thank our customers for their loyalty and ongoing business. By going to a leader in the transportation and logistics industry, the operations of Shaw Tracking are well-positioned for future growth and investment,” said Jay Mehr, president, Shaw Communications. “This transaction further reflects our commitment to our strategic initiative of becoming Canada’s leading connectivity provider and our ongoing work to focus our operations around our core offerings.”
Every year, more than $650-billion in goods cross the U.S.-Canada border. With Omnitracs expanding its well-known presence into Canada, customers will benefit from direct access to Omnitracs’ products while operating cross-border trade routes, utilizing notable customer support centers in both countries.
“Through this acquisition, Omnitracs will be ready to further assist the Canadian market, and support fleet owners with the entire portfolio of platforms and applications,” Ham concluded. “Whether it’s ELDs or other productivity solutions, the combined organization now has even more knowledge and resources to help overcome management and operational obstacles throughout an entire load lifecycle.”
The actual legal entity acquiring Shaw Tracking is Turnpike Global Technologies Inc. (Ontario), a wholly owned Canadian subsidiary of Omnitracs, LLC.
About Shaw Communications Inc.
Shaw Communications Inc. is an enhanced connectivity provider. Our Consumer division serves consumers with broadband Internet, Shaw Go WiFi, video and digital phone. Our Wireless division provides wireless voice and data services through an expanding and improving mobile wireless network infrastructure. The Business Network Services division provides business customers with Internet, data, WiFi, telephony, video and fleet tracking services. The Business Infrastructure Services division, through ViaWest, provides hybrid IT solutions including colocation, cloud computing and security and compliance for North American enterprises.
Shaw is traded on the Toronto and New York stock exchanges and is included in the S&P/TSX 60 Index (TSX:SJR.B)(TSX:SJR.PR.A)(TSX:SJR.PR.B)(NYSE:SJR)(TSX VENTURE:SJR.A). For more information, please visit www.shaw.ca.
About Omnitracs, LLC
Omnitracs, LLC is a global pioneer of fleet management, routing and predictive analytics solutions for private and for-hire fleets. Omnitracs’ more than 1,000 employees deliver software-as-a-service-based solutions to help more than 12,000 private and for-hire fleet customers manage nearly 1,100,000 mobile assets in more than 70 countries. The company pioneered the use of commercial vehicle telematics over 25 years ago and serves today as a powerhouse of innovative, intuitive technologies. Omnitracs transforms the transportation industry through technology and insight, featuring best-in-class solutions for compliance, safety and security, productivity, telematics and tracking, transportation management (TMS), planning and delivery, data and analytics, and professional services. For more information about Omnitracs XRS Platform, visit: www.omnitracs.com/platforms/xrs-platform.
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