Quarterhill completes acquisition of VDS GmbH
VDS develops, manufactures and sells fixed and mobile traffic monitoring devices that record driver speed and red-light infractions.
Technology / IIoT
TORONTO — Quarterhill Inc., announces that it has completed the acquisition of all the issued and outstanding shares of VDS Verkehrstechnik GmbH, a German-based Intelligent Transportation Systems provider of high precision traffic monitoring devices, for cash consideration of approximately $2.8 million. All dollar amounts are in Canadian dollars unless otherwise stated.
VDS develops, manufactures and sells fixed and mobile traffic monitoring devices that record driver speed and red-light infractions. VDS’s devices are currently the only radar-based products certified under new regulations in Germany that enable direct enforcement of traffic violations. VDS has one manufacturing facility and two service centers in Germany and will be integrated into Sensor Line GmbH, which was acquired by Quarterhill in January 2021 and is one of VDS’s largest suppliers of sensors. Sensor Line and VDS will continue to build on their 20-year partnership and undertake joint technology development.
“This acquisition further increases the number of well-engineered products to our suite of solutions and global sales channels,” said Rish Malhotra, CEO of IRD. “VDS’s technology expands our enforcement capabilities with the ability to generate speeding and red-light violations. These products are highly sought-after as governments at all levels seek to enhance transportation safety and identify new revenue opportunities. VDS also broadens our customer base to some of the largest cities and municipalities in Germany and their team will also support IRD’s projects in the region.”
“The acquisition of VDS fits with our strategy to support the growth of IRD and to expand our ITS business,” said Paul Hill, CEO of Quarterhill. “Our existing ITS platform provides for seamless integration and improves the potential for business synergies. We were introduced to VDS through Sensor Line, and this demonstrates how our presence in the ITS industry can lead to unique opportunities for acquisitions. We are pleased to have already completed two deals in 2021 and look forward to more M&A activity during the remainder of the year.”