OXNARD, Calif.--(BUSINESS WIRE)--Aug. 9, 2007--CalAmp Corp.
(NASDAQ:CAMP), a leading provider of wireless products, systems and
services, today announced that it has entered into a definitive
agreement to sell its TelAlert software business unit to
privately-held MIR3, Inc. MIR3 is a technology leader in enterprise
notification solutions for global enterprises. Total consideration for
the transaction, comprised of cash, a note and preferred stock in
MIR3, is valued at approximately $10 million. The transaction, which
is subject to obtaining customary consents and approvals, is expected
to be completed shortly.
"The sale of TelAlert allows CalAmp to concentrate on our core
Satellite and Wireless Datacom businesses," commented Fred Sturm,
President and Chief Executive Officer of CalAmp. "This transaction
will benefit both CalAmp and MIR3, along with TelAlert customers and
employees. MIR3's focus and long-term commitment to serving the
notification industry, coupled with the strength of the complementary
product offerings, should result in a competitive advantage and
significant growth opportunities for MIR3's combined operation.
Furthermore, with our new equity stake in MIR3, CalAmp can participate
in the expected future success of the urgent notification business."
TelAlert is an industry leader in wireless notification services,
providing enterprise customers with the communications infrastructure
to meet critical business needs. Thousands of companies, including 80
of the Fortune 100 U.S. companies and a growing number of global
companies in Europe, Asia and Latin America, have deployed TelAlert's
software solutions.
"The acquisition provides both TelAlert and MIR3 customers with a
clear and comprehensive solution for high-speed, scalable enterprise
notification for improved business performance," said Amir Moussavian,
MIR3 president and CEO. "This is a strategic step in MIR3's vision to
become the global notification platform of choice for all business
applications within the enterprise - most notably IT, business
continuity, supply chain management and call centers. Our existing
partners will benefit with greater global reach. The combination of
MIR3 and TelAlert creates the industry's only enterprise-grade
intelligent notification platform that includes unparalleled
application integration, unequalled protocol support and the latest in
web-services technologies, all delivered either in hosted or
on-premises installations."
About CalAmp Corp.
CalAmp is a leading provider of wireless communications products
that enable anytime/anywhere access to critical information, data and
entertainment content. With comprehensive capabilities ranging from
product design and development through volume production, CalAmp
delivers cost-effective high quality solutions to a broad array of
customers and end markets. CalAmp is a supplier of Direct Broadcast
Satellite (DBS) outdoor customer premise equipment to the U.S.
satellite television market. The Company also provides wireless data
communication solutions for the telemetry and asset tracking markets,
private wireless networks, public safety communications and critical
infrastructure and process control applications. For additional
information, please visit the Company's website at www.calamp.com.
About MIR3, Inc.
MIR3 provides automated Intelligent Notification (IN) solutions
for global and enterprise-wide communications and business continuity.
MIR3's inEnterprise(TM), inAlertCenter(TM), inTechCenter(TM),
inGovAlert(TM), inCampusAlert(TM), inLocalAlert(TM) and
inWebServices(TM) are built on a geo-dispersed, scalable telephony and
application server platform that directs the global dissemination of
time-urgent information to and from any communications device across
any communication medium. Its customers include the world's top
petroleum, soft-drink bottling, and consumer goods companies, IAC
Interactive (which operates TicketMaster and Match.com), Belkin
Worldwide(R), US Air Force, Homeland Security's National Medical
Response Teams, The American Red Cross, LA County Department of
Health, and the County of Orange, California, which has 1.4 million
recipients loaded in their MIR3 Intelligent Notification system. For
more information visit www.mir3.com or contact 858-724-1248 or
pr@mir3.com.
Forward-Looking Statement
Statements in this press release that are not historical in nature
are forward-looking statements, which involve known and unknown risks
and uncertainties. Words such as "may," "will," "expect," "intend,"
"plan," "believe," "seek," "could," "estimate," "judgment,"
"targeting," "should," "anticipate," "goal" and variations of these
words and similar expressions, are intended to identify
forward-looking statements. Actual results could differ materially
from those implied by such forward-looking statements due to a variety
of factors, including general and industry economic conditions,
product demand, increased competition, competitive pricing and
continued pricing declines in the DBS market, the timing of customer
approvals of new product designs, operating costs, the Company's
ability to efficiently and cost-effectively integrate its acquired
businesses, the Company's ability to obtain a waiver from the lenders
under its bank credit agreement of the event of default under the
credit agreement, the Company's ability to successfully requalify with
respect to the sale of newer generation products to one of its key DBS
customers, the risk that the ultimate cost of resolving a product
performance issue with that DBS customer may exceed the amount of
reserves established for that purpose, and other risks or
uncertainties that are described in the Company's fiscal 2007 Annual
Report on Form 10-K filed on May 17, 2007 with the Securities and
Exchange Commission. Although the Company believes the expectations
reflected in such forward-looking statements are based upon reasonable
assumptions, it can give no assurance that its expectations will be
attained. The Company undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
CONTACT: CalAmp Corp.
Rick Vitelle
Chief Financial Officer
805-987-9000
or
Financial Relations Board
Lasse Glassen
General Information
213-486-6546
lglassen@frbir.com
SOURCE: CalAmp Corp.