May, 2007
Leading Stolen Vehicle Recovery (SVR) company, Tracker, has today announced (May 24, 2007) that it has acquired all the equity in Mobile Data, a highly-rated vehicle monitoring company previously owned by WesBank.
Launched only two years ago, Mobile Data offers fleet management and telematics through its popular Skytrax range of products.
Tracker has also secured the technological expertise and intellectual property development rights to the Skytrax technology, which was originally developed by Infotech.
As part of the transaction, WesBank will now hold a 32.5% stake in Tracker, with VenFin owning 31% and the Mineworkers Investment Company (MIC) increasing their shareholding to 26.5%. The balance of the equity, 10%, is held by a private investment consortium.
This transaction has increased Tracker's value to over R2-billion.
"Acquiring Mobile Data and attracting an investor of WesBank's stature is a clear indication of Tracker's success in only a decade of operation and we believe we are now ideally positioned to take Tracker to the next level. One of our goals is to become the outright leader in total vehicle communication in South Africa through Stolen Vehicle Recovery, vehicle monitoring and telematics. We can now offer a fully comprehensive service catering to the needs of both individual vehicle owners and fleet operators. Furthermore, we are now also in a position to extend further value to certain business intermediaries such as vehicle manufacturers, dealerships and insurance companies by potentially providing them with vehicle information to improve their businesses," says Pierre de Clerk, Tracker's Managing Director.
"By acquiring Mobile Data we not only benefit from some of the world's most advanced GSM/GPRS vehicle monitoring technology and telematics, but we also strengthen our ranks from an intellectual capital perspective with some of the finest minds in the business," says de Clerk.
The transaction will see almost 100 Mobile Data staff come over to Tracker, making the company a direct employer of almost 1000 staff countrywide.
"From a brand perspective, Tracker will retain its identity with Skytrax becoming part of the company's product offerings. We are very excited about how our systems and national infrastructure will catapult Skytrax into the market. Furthermore, we believe that the acquisition has created a platform for Tracker to explore business opportunities offshore as we now have a complete vehicle communications suite to rival any company in the world," commented de Clerk.
"We would, however, like to reassure our clients that we will not lose our focus on Stolen Vehicle Recovery, which for so long has been our primary business. We see this transaction as a major enhancement to our service offering and does not in any way detract from our achievements and ambitions in Stolen Vehicle Recovery."
WesBank's decision to invest
"WesBank entered the vehicle communications market two years ago with Skytrax, to respond to a clearly articulated customer need and this new partnership with Tracker will enhance our service offering and capability, enabling us to extend the provision of these world-class products and services to many more of our customers," comments Alan Hutcheson, WesBank's General Manager for Fleet.
MIC's decision to invest
"Tracker has been a partner to MIC from 2000 when we originally invested. Since then we have maintained our 25% stake in the group and opted to further increase it to the current 26.5% following the merger, showing our faith in the management team and the group's prospects. We have been extremely pleased with our investment, as Tracker has shown significant growth over the last few years. The group has impressively increased its market capitalisation to over R2-billion with the Mobile Data transaction. We look forward to our continued involvement with this market leader," says MIC, CEO Paul Nkuna.
The Mobile Data acquisition will increase Tracker's database by some 35 000 to approximately 450 000 vehicles, making it the largest vehicle communications company in South Africa. Since opening its doors in 1996, Tracker has successfully recovered some 33 000 stolen and hijacked vehicles which has resulted in approximately 6500 arrests - the most, on either score, by any vehicle tracking company in South Africa.
For more information, please contact Gareth Crocker, Communications Manager for Tracker on gcrocker@tracker.co.za, (011) 380 0300 or 082 78 78 757.