Wireless chip vendor Qualcomm has finalized its plans to sell its telematics business — Omnitracs – to Vista Equity Partners for approximately $800 million in cash.
Qualcomm on Monday said Omnitracs was one of Qualcomm’s earliest businesses and has been a leader in fleet management and telematics for more than 25 years. The sale includes Omnitracs’ operations in the United States, Canada and Latin America.
The sale will result in an estimated $0.22 to $0.25 per share gain and will be reported in Qualcomm’s first fiscal quarter.
Jack Kennedy, who served as President of Omnitracs, since January and helped drive the successful sale process, will stay with Qualcomm and continue to lead the evaluation of strategic alternatives for the remaining European operations that were previously part of Omnitracs.
