Sierra Wireless to Buy Sagemcom M2M

VANCOUVER, Canada -- Sierra Wireless (NASDAQ: SWIR) (TSX: SW) today announced it has entered into an exclusivity agreement for the acquisition of Sagemcom’s machine-to-machine (M2M) business. Sierra Wireless has submitted a binding offer to acquire substantially all of the assets of the business for €44.9 million in cash consideration plus assumed liabilities.

The proposed acquisition remains subject to completion of the consultation process with employee representatives. This process is expected to commence immediately and, when complete, Sagemcom will be able to enter into a definitive agreement with Sierra Wireless. The companies expect this to occur in the third quarter.

“Combining Sagemcom’s M2M business with Sierra Wireless is a unique opportunity for us to enter new markets and bolster our leadership in wireless M2M communications,” said Jason Cohenour, President and CEO of Sierra Wireless. “With a strong market position in key segments, a culture of innovation, and experienced teams based in Paris and Shenzhen, Sagemcom M2M is an ideal fit for Sierra Wireless.”

Sierra Wireless Inc. (Nasdaq: SWIR; Toronto: SW)