Xirgo Technologies, a portfolio company of Hammond, Kennedy, Whitney & Company (HKW), has acquired Baltic Car Equipment. HKW acquired Xirgo Technologies in December 2016.
Baltic Car Equipment (BCE) is a provider of telemetry and automotive security products and software used for fleet management of light vehicles, trucks, heavy machinery, and agricultural equipment. The company was founded in 2006 and is headquartered in Kaunas, Lithuania (www.bce.lt/en).
“We are very excited to welcome the BCE team to Xirgo,” said Xirgo CEO Shawn Aleman. “The joining of our companies will allow Xirgo to establish a European footprint improving our access to Europe, the Middle East, and Africa, enabling our companies to target new customers and better serve our existing clients. BCE’s product offering will also provide select North American customers access to customized end to end solutions.”
Xirgo provides M2M (machine-to-machine) telematics modules that support communication among devices connected to the Internet of Things (IoT) sector. M2M refers to devices other than cell phones that use wireless networks to communicate with other devices or networks. Typically, a small device known as an M2M module is embedded in a larger device that needs to communicate over the wireless network. Xirgo’s products are used in fleet management, heavy equipment, asset tracking, usage-based driving, high-risk vehicle finance, and rental applications. Xirgo is headquartered near Los Angeles in Camarillo, CA (www.xirgotech.com).
“BCE’s geographic footprint and mix of products complement Xirgo’s existing portfolio quite well,” said Luke Phenicie, Lead Transaction Partner at HKW. “We are looking forward to working with founder, Andrius Zabulionis, and director, Giedrius Žibikas, as well as their talented team on this opportunity. We also feel fortunate to continue HKW’s support of Xirgo as it continues its expansion in the IoT sector.”
Hammond, Kennedy, Whitney & Company invests in companies with revenues between $20 million and $200 million and EBITDAs between $2 million and $20 million. Since 1982, HKW has completed 60 platform management buyouts of small middle-market companies throughout North America as well as 64 add-on acquisitions. The firm was founded in 1903 and is headquartered in Indianapolis with an additional office in New York (www.hkwinc.com).
Near Earth LLC, an investment bank serving the satellite, aerospace and M2M telematics sectors, was the financial and strategic advisor to Xirgo.
© 2019 Private Equity Professional | June 20, 2019