) recently announced that it has acquired privately-held Logicway
based in Oldenzaal, The Netherlands. The financial terms of the
deal were not disclosed.
Logicway is a specialized software developer for the
transportation and logistics (T&L) industry. Its software not
only helps in synchronizing end-to-end business processes but also
automates the steps involved in the wages and expenses calculation
for businesses, helping to improve productivity and operational
Logicway software is already integrated within Trimble's T&L
solutions. Upon the completion of the deal, the Logicway business
will be reported within Trimble's Mobile Solutions (TMS) segment.
The acquisition will enable Trimble to provide improved product
offerings and better deal with the increasing complexity of the
Trimble is quite active on the mergers and acquisitions
(M&A) front. The company's acquisitions have helped it to build
its portfolio and increase top-line growth. Acquisitions have also
been positive for gross margins, while adding operating leverage.
Last month, Trimble acquired privately-held TMW Systems, another
specialized software developer for the transportation and logistics
industry for $355 million. Earlier this year, Trimble acquired a
3-D modeling software platform from Internet search giant
). The purchase price for the software was not revealed.
Trimble Navigation, Ltd. is an original equipment manufacturer
(OEM) of positioning, surveying and machine control products. In
the last-reported second quarter of 2012, TMS segment revenue of
$81.4 million was up 3.9% sequentially and 102.4% from the
comparable quarter of 2011. Trimble has been putting in a lot of
effort here, discontinuing and disposing off non-focus product
lines and building a desired portfolio through successive
acquisitions. The latest acquisition is expected to further enhance
the performance of commercial vehicles and fleets, thus driving
Trimble's solid portfolio (enhanced by acquisitions), strong
market position and strategic partnerships are expected to drive
both revenue and earnings over the next few quarters.
Currently the shares of Trimble retain a Zacks #3 Rank
(short-term "Hold" rating).
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