MESA, Ariz., June 17, 2021 /PRNewswire/ -- Verra Mobility
(NASDAQ: VRRM), a leading provider of smart mobility
technology solutions, today announced the closing of the
transaction to acquire 100% of the issued share capital of Redflex
Holdings Limited (ASX: RDF) for a purchase price
of A$0.96 per share, representing a total acquisition
price of A$152.5 million. Entry into the agreement with
Redflex was previously announced in January
"We are very excited about this acquisition," said David
Roberts, Chief Executive Officer, Verra Mobility. "Bringing
together these two companies will result in increased resources,
scale, and enhanced technology capabilities. The combination will
enable global delivery of leading road safety products and
services, allowing us to compete internationally as a global leader
in smart transportation."
Redflex is combining with Verra Mobility's Government Solutions
business segment, enhancing its product portfolio and technology
capabilities, and increasing its scale and global reach.
Mark J. Talbot, who served as
Redflex's CEO, will lead the Government Solutions business and join
Verra Mobility's executive leadership team.
"Both teams have been moving quickly but thoughtfully on
integration planning. Overall we expect to realize approximately
$8 million to $10 million in cost synergies in the coming 24
months. We look forward to putting our plan into action and
leveraging the 'best of both' of the companies to create
significant value for our customers and shareholders for many years
to come," added Mr. Roberts.
During calendar year 2020, Redflex Holdings Limited reported
revenue of $71.8 million and EBITDA
of $13.3 million on an IFRS basis
using a full-year average exchange rate of A$0.69:US$1.00.
As a result of the completion of the acquisition, Redflex has
become a wholly-owned subsidiary of Verra Mobility, and shares of
Redflex will no longer be listed for trading on the Australian
Securities Exchange, which is expected to take effect as of the
close of market on June 21, 2021.
About Verra Mobility
Verra Mobility is committed to developing and using the
latest in technology and data intelligence to help make
transportation safer and easier. As a global company, Verra
Mobility sits at the center of the mobility ecosystem – one
that brings together vehicles, devices, information, and people to
solve complex challenges faced by our customers and the
constituencies they serve.
Verra Mobility serves the world's largest commercial fleets and
rental car companies to manage tolling transactions and violations
for millions of vehicles. As a leading provider of connected
systems, Verra Mobility processes millions of transactions each
year through integration with more than 50 individual tolling
authorities and connectivity with more than 450 issuing
authorities. Verra Mobility also fosters the development of safe
cities, partnering with law enforcement agencies, transportation
departments, and school districts across North America, operating thousands of
red-light, speed, bus lane and school bus stop arm safety cameras.
Mobility operates in more than 15 countries. For more
information, visit www.verramobility.com.
Over the past 25 years, Redflex established itself as a world
leader in developing and implementing intelligent traffic
management products and services that are sold and managed in
the Asian Pacific, North America, United
Kingdom, Europe, and Middle East regions. Redflex
develops, manufactures, and operates a wide range of platform-based
solutions, utilizing advanced sensor and image capture technologies
that enable active management of state and local motorways.
Redflex runs its own systems engineering operations, system
integration technologies and an innovation center for research and
development. With a continuous program of product development,
Redflex has been helping to improve roadway safety, alleviate
congestion and reduce the harmful impacts of vehicle emissions.
This press release contains "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. Such statements include, but are not limited to, statements
about Verra 'Mobility's plans, objectives, expectations, beliefs
and intentions and other statements including words such as "hope,"
"anticipate," "may," "believe," "expect," "intend," "will,"
"should," "plan," "estimate," "predict," "continue" and "potential"
or the negative of these terms or other comparable terminology. The
forward-looking statements herein represent the judgment of the
Company, as of the date of this release, and Verra Mobility
disclaims any intent or obligation to update forward-looking
statements. This press release should be read in conjunction with
the information included in the Company's other press releases,
reports and other filings with the SEC. Understanding the
information contained in these filings is important in order to
fully understand the Company's reported financial results and our
business outlook for future periods. Actual results may differ
materially from the results anticipated in the forward-looking
statements and the assumptions and estimates used as a basis for
the forward-looking statements.
Non-GAAP Financial Measures
Redflex revenue is reported under International Financial
Reporting Standards ("IFRS") which may differ from U.S. Generally
Accepted Accounting Principles ("GAAP"). Redflex EBITDA is
defined as earnings (loss) before interest, taxes, depreciation,
amortization and impairment of intangible assets the components of
which were derived from IFRS reporting. These forward-looking
non-GAAP measures could not be reconciled to their closest GAAP
measure without unreasonable effort and are presented as a
reflection of previously publicly reporting results from Redflex
Investor Relations Contacts
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SOURCE Verra Mobility