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Motorola Solutions agrees to buy IndigoVision for $37 million
2 Min Read
Motorola Solutions has agreed to acquire IndigoVision, a Scotland-based provider of end-to-end video security solutions, for about $37.2 million cash in a deal that is expected to close by the end of May, according to information from the companies
“Motorola Solutions is pleased to have reached agreement on the terms of a recommended cash acquisition of IndigoVision, a UK-based provider of end-to-end video security solutions,” John Kedzierski, Motorola Solutions’ senior vice president for video security solutions, said in a prepared statement.
“We share IndigoVision’s commitment to providing next-generation, end-to-end video security solutions that enhance safety, security and efficiency. IndigoVision’s end-to-end offering, global presence and customer base will complement our existing and growing presence in video security and analytics.”
Motorola Solutions greatly expanded its position in the video-security and video-analytics markets early in 2018, when the company purchased Vancouver-based Avigilon for about $1 billion cash. Avigilon historically sold video-security systems to enterprises, but Motorola Solutions have expressed hope that the solutions also can be sold to critical-communications organizations that typically have longer sales cycles than enterprise customers.
In fiscal year 2019, IndigoVision reported $50.2 million in revenue and the company’s first annual profit in several years, according to documents outlining the background to the acquisition. The purchase price represents a 129% premium on IndigoVision’s closing stock price on March 16 and a 116% premium on the average IndigoVision stock price during the past year.
IndigoVision CEO Pedro Vasco Simoes expressed optimism that being purchased by Motorola Solutions will help the UK-based firm realize even greater opportunities in the future.
“The access we will now have to Motorola Solutions’ range of innovative technologies will create new opportunities for IndigoVision and enable us to bring an exciting proposition to the market that allows us to further deliver on our goal of delivering safety, security and business intelligence,” Simoes said in a prepared statement.
Announced on March 17, the deal is subject to approval by IndigoVision shareholders and completion of processes associated with United Kingdom law.
