Sirius XM Radio Inc (SIRI) Spends $530 Million For Agero’s Connected Vehicle Unit
Sirius XM Radio Inc (NASDAQ:SIRI) has announced today they they are acquiring the connected vehicle business of Agero Inc. for $530 million in cash. Agero’s connected vehicle unit is the leading provider of innovative telematics services that offers safety and convenience services for drivers and end-to-end turnkey solutions for automotive companies. After the acquisition is completed, SiriusXM will offer connected vehicle services to auto companies like Acura, BMW, Honda, Hyundai, Infiniti, Lexus, Nissan and Toyota.
“The acquisition of Agero’s connected vehicle business is a natural fit for Sirius XM. As the world’s leading provider of in-vehicle subscription services, SiriusXM is uniquely positioned to offer world-class end-to-end telematics services,” stated Sirius XM Radio Inc (NASDAQ:SIRI) Jim Meyer. “The transaction accelerates SiriusXM’s development in architecture supporting connected vehicle services, as well as the ability to provide services over both satellite and cellular networks. Agero’s connected vehicle team is known for their experience, innovation and technology, and we look forward to welcoming them to SiriusXM as we work to capture the significant growth opportunities in connected vehicle services.”
Sirius XM Radio Inc (NASDAQ:SIRI) offers entertainment and data services in over 50 million vehicles. The company believes that telematics and connected vehicle solutions are essential for the future of the auto industry. This transaction is expected to close in Q4 2013.