TeleCommunication Systems, Inc. (TCS), a leading provider of mission-critical wireless communications, has announced that it has entered into a definitive merger agreement to acquire Networks In Motion, Inc., a privately held provider of wireless navigation solutions for GPS-enabled mobile phones headquartered in Aliso Viejo, California, for an aggregate of $170 million.
The merger consideration will be paid in a combination of cash, TCS common stock and promissory notes. Networks In Motion’s Board of Directors has unanimously adopted the merger agreement and recommended its approval by Networks In Motion’s stockholders.
The acquisition accelerates TCS’ position in enabling mobile operators to offer enhanced location-based data services. “Location-based services are experiencing substantial growth and we believe that this is the right time to invest to strengthen our participation in this space,” said Maurice B. Tosé, chief executive officer of TCS.
“We believe the combination of Networks In Motion applications with our current offerings of carrier infrastructure and applications for location-based services will enhance our value proposition for this exciting market.”