News: SaverOne Enters into Term Sheet to Acquire Assets and Operations of Micronet Ltd.
Will Expand SaverOne's product line and upon closing of the acquisition is expected to be immediately accretive to SaverOne
PETAH TIKVAH, Israel, Dec. 20, 2023 /PRNewswire/ -- SaverOne 2014 Ltd. (Nasdaq: SVRE) (TASE: SVRE), a technology company specializing in transportation safety solutions, today announced that it has signed a term sheet for the strategic acquisition of certain operations, products and IP of Micronet Ltd., a developer of advanced telematics systems cameras and Driver Monitoring Systems (DMS). Upon closing of this acquisition, it will broaden SaverOne's product portfolio and customer base, and is expected to accelerate SaverOne's go-to-market strategy in the US market.
Micronet Ltd. is a publicly traded company on the Tel Aviv Stock Exchange, under the ticker MCRNT. SaverOne's management expects the acquisition of the Micronet Ltd. operations and assets that are to be acquired, will be immediately accretive to SaverOne following the closing.
The final deal terms are expected to be closed after concluding a due-diligence process. The majority of the consideration for the operations and assets will be contingent payments, related to the acquired operation's performance. In addition, SaverOne will assume all Micronet Ltd.'s prior obligations towards its customers, mainly including product warranties, customer service, returns, repairs, etc., and SaverOne will be compensated by Micronet Ltd. in future in connection with the provision of these services.
The deal is expected to be signed and close in early 2024.
"We are very pleased to announce this first step towards the acquisition of certain Micronet assets, IP and operations which is expected to enhance and broaden SaverOne's product portfolio and customer base," commented Ori Gilboa, CEO of SaverOne. "Aligned with our strategy, we see strong synergies with SaverOne's existing activities, leveraging the addition of Micronet's product portfolio. Micronet's customer-base in the United States is expected to create strong added-sales opportunities for SaverOne systems. We believe that we are acquiring a strong IP suite, including a leading DMS product and next-generation cameras that well compliment our existing product lines. We are also pleased that the acquisition is expected to be accretive from day one, leveraging on SaverOne's existing engineering, sales and marketing infrastructure. This transaction represents potential immediate revenue growth given Micronet's product suite including a new integrated Camera with our DDPS product, as well as opportunities for additional new customers, particularly in the United States."
fyi ANT
Bullish
