Success would provide it with big telematics/M2M/iOT player
Well, Vodafone has found something new to do with its funds war chest inherited by selling its Verizon Wireless stake. It’s going heavily into the telematics/M2M/iOT sector by announcing its intention to voluntary takeover of Cobra Automotive Technologies. Headquartered in Italy and listed on the Milan stock exchange (Borsa Italiana S.p.A), Cobra has operations in a host of countries including Brazil, China, France, Germany, Italy, Japan, South Korea, Spain, and Switzerland as well as the UK.
Described as a global provider of security and telematics solutions to the automotive and insurance industries, the group provides vehicle manufacturers, dealerships and after-market customers with a range of products and services including usage-based insurance and vehicle tracking.
Telematics is, of course, the original term given to these kinds of specialised services whereas GoMo News prefers M2M (machine-to-machine) communications rather than the even more trendy IoT (Internet of Things).
“The combination of Vodafone and Cobra will create a new global provider of connected car services,” commented Erik Brenneis, director of M2M, Vodafone.
He continued, “We plan to invest in the business to offer our automotive and insurance customers a full range of telematics services.”
The offer for €1.49 per share in cash – valuing the company’s entire fully diluted ordinary share capital of Cobra at €145 million (£115m), is expected to be launched in the coming weeks and will be made subject to the relevant provisions of Italian law.
This morning [June 16th 2014], Vodafone’s share price was down 0.49 per cent (0.90) to 194.10.