The merger of Powerfleet, Inc. (Nasdaq: PWFL) and MiX Telematics Limited has been successfully completed, forming a significant player in the mobile asset Artificial Intelligence of Things (AIoT) Software-as-a-Service (SaaS) sector. This powerful combination creates a scaled, global entity of choice focused on unifying business operations by simplifying how customers manage, analyse, and utilize data to drive improved business performance.

“Combining with MiX, an extremely well-run and profitable organisation, will establish the combined entity as a world-class SaaS company, giving us the speed and capability to achieve improved growth in high-quality recurring revenues and expanded profitability much sooner” says Stefan Joselowitz, CEO of MiX Telematics, who intends to retire at the conclusion of this transaction but plans to continue to be a shareholder of the new combined entity.

The newly formed entity resulting from the merger of Powerfleet, Inc. and MiX Telematics Limited, operates as MiX by Powerfleet in the Africa region,

“This transformative combination positions Powerfleet as a leading global AIoT SaaS company, setting the stage for accelerated growth in recurring revenues, increased profitability, and expanded avenues for creating shareholder value,” said Steve Towe, Powerfleet’s Chief Executive Officer.

“We’re swiftly executing a proven business integration strategy known for delivering concrete outcomes, underpinned firstly by a robust $25m+ EBITDA expansion program in concert with medium-term high growth. This approach is designed to accelerate the integration process, allowing us to promptly focus on driving increased shareholder value and enhancing our customers’ experience.”

A new board of directors of Powerfleet has now been appointed. The new board consists of Michael Brodsky, Chairman, Steve Towe, CEO, and Ian Jacobs, the previous MiX Chairman. Powerfleet is also pleased to announce Mike McConnell as a new board member. Mike has a strong history as a corporate director, focused on enhancing shareholder value.

“On behalf of the entire board, we are delighted by the successful completion of the business combination between Powerfleet and MiX,” shares Michael Brodsky, Chairman of the Powerfleet board. “We are highly confident the combined entity will emerge as a strongly unified, differentiated, and efficient company.”

Steve Towe added, “Amidst a fragmented market where consolidation and scale continue to be a strong driver, Powerfleet possesses a clear vision and mission, anchored by our compelling Unity platform.

Our device-agnostic data ingestion engine and third-party integration capabilities, unique to Unity, deliver unparalleled value for our customers. We unify their operations, providing a single source of truth for their people, their assets, and business processes – enabling impactful business change and enhanced performance.”

The combined geographical footprint, deep vertical expertise, and expanded software solution sets coupled with the extensive direct and indirect sales channel capabilities should enable Powerfleet to maximize significant cross-sell and upsell opportunities within the impressive joint customer base, promoting recurring SaaS revenue.

This positions Powerfleet to move towards Rule of 40 performance within two years of closing this transaction.

Joselowitz says: “I am extremely proud of our heritage and the high-quality business MiX is today, and I am delighted to have finally found an ideal partner that shares our values and strategic goals to take the company to the next level.

“We strongly believe Powerfleet’s Unity strategy and our combined scale perfectly positions us to revolutionise the mobile asset IOT SaaS industry and drive transformative growth. As a shareholder, I am extremely excited about how this combination will accelerate the achievement of our shared strategic goals,” concludes Joselowitz.

Steve Towe – Powerfleet Chief Executive Officer