ORBCOMM Inc, a global provider of machine-to-machine (M2M) solutions, finalized its acquisition of SkyWave Mobile Communications, the largest M2M service provider on the Inmarsat global L-band satellite network. The deal wrapped up on January 1.
Based in Ottawa ON, Canada, SkyWave adds more than 250,000 subscribers, 400 channel partners, annualized revenues of over $60 million, and Adjusted EBITDA of over $12 million.
“This transformative acquisition creates the largest space-based global M2M company with unparalleled capabilities, established go-to-market channels and global network coverage,” said Marc Eisenberg, ORBCOMM’s chief executive officer. “With our expanded scope and scale, we are well-positioned to provide the industry’s most diverse portfolio of M2M solutions and connectivity options that leverage both the ORBCOMM and Inmarsat networks.”
The acquisition of SkyWave furthers ORBCOMM’s strategy to provide the most complete set of options and capabilities in the industry, while adding multiple synergies to strengthen its M2M solutions portfolio. With the addition of SkyWave, ORBCOMM now has one of the largest combined engineering teams in the M2M industry and gains significant economies of scale in operations and manufacturing.
SkyWave’s robust distribution channels in South America, Asia and the Middle East, along with Inmarsat’s support, provide ORBCOMM with even broader global distribution. ORBCOMM gains access to new geographies in Eastern Europe and Asia while adding diverse vertical markets such as security and marine. The addition of SkyWave’s higher bandwidth, low-latency satellite products and services that leverage the IsatDataPro (IDP) technology, which is now jointly owned by ORBCOMM and Inmarsat, also further expands the breadth of ORBCOMM’s solutions portfolio.