Dec 12 (Reuters) – Trimble Inc (TRMB.O) said on Monday it will acquire German logistics software company Transporeon in an all-cash deal valued at 1.88 billion euros ($1.98 billion), sending shares of the U.S. software company down over 7% in extended trading.
Trimble is looking to expand into the transport tech market by acquiring Transporeon that uses cloud-based software to plan logistics as well as cut empty truck volumes and carbon-dioxide consumption, and has a strong footprint in the European market.
Transporeon is expected to generate about 190 million euros of revenue in 2023, representing about 25% year-over-year growth, said Trimble, which expects the deal to close in the first half of 2023.
Over 90% of Transporeon’s revenue comes from subscriptions or recurring transactions.
Reuters in April reported that European buyout fund Hg was working with Goldman Sachs (GS.N) to prepare the sale of Transporeon.
Hg bought Transporeon in 2019 from rival buyout fund TPG and has seen the firm grow rapidly since, as supply chains were challenged during the pandemic and required digital software solutions.
Sunnyvale, California-based Trimble makes GPS navigation products that include electronic logging devices for truck drivers.
($1 = 0.9491 euros)
Reporting by Anirban Chakroborti in Bengaluru; Editing by Shinjini Ganguli
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