SANTA ANA, Calif. — Iteris Inc. has completed the sale of its vehicle sensors business to Bendix Commercial Vehicle Systems LLC, a member of Knorr-Bremse Group, for a purchase price of $14 million with $2 million subjected to holdbacks and adjustments based upon working capital at closing. Additionally, Iteris expects to receive performance and royalty-related earn-outs as they occur over time.
The divestiture is part of Iteris’ intentions to focus on its core market, Traffic Management, which includes its software-intensive Roadway Sensors products, and Transportation Systems technology offerings. Going forward, Iteris says it expects to enhance and expand these core technologies with continued internal development and thoughtful acquisitions aligned with this strategy.
“The closing of our Vehicle Sensors divestiture marks an important new stage for our company, as we are now a team united with a clear focus on our core Intelligent Traffic Management market,” said Abbas Mohaddes, president and CEO of Iteris. “I expect to utilize our well-capitalized balance sheet to drive strong organic growth and make synergetic acquisitions.
“With the anticipated passing of the Highway Bill, and growing importance of performance measurement and predictive ‘algorithm-based’ information, I believe we have a great opportunity to become a leading supplier of traffic information that will improve transportation systems,” said Mohaddes. “We are uniquely positioned to address this demand and use our core competencies to grow our business.”
Iteris’ Vehicle Sensors business features a portfolio of vehicle active safety systems including lane departure warning, forward collision warning and blind spot warning, as well as SafetyDirect software that analyzes real-time driver performance.
“The acquisition of the vehicle sensor business from Iteris – including SafetyDirect and the AutoVue Lane Departure Warning system – supports the diversified Bendix/Knorr-Bremse global business growth strategy, solidifies our existing safety systems expertise and helps to further drive advancements along our technology road map,” said Andreea Raaber, Bendix vice president of business development. “We’re very pleased to add these technologies to our electronics product portfolio.”
