IoT company Telit Communications received an all-share takeover offer from rival u-blox, a move adding to increased interest in the business following recent approaches from other companies.
Switzerland-based u-blox provides IoT services and wireless semiconductors and modules. In a statement it said the price proposed valued Telit’s business at £2.50 per share and its board believed there was a “a strong strategic rationale” for a tie-up.
It added talks were still at an early stage and Telit’s board had yet to respond, but argued a deal could deliver “substantial synergies” for both companies.
U-blox also stated terms of the offer could change, subject to certain conditions.
As the current bid is non-binding, u-blox has until 18 December to decide on a firm intention to proceed with the takeover offer, with the potential for extension of the deadline.
At the start of the month, Telit said it attracted interest from asset management company DBay Advisors and hardware company Lantronix.Subscribe to our daily newsletter Back