Corporation announced March 11 the acquisition of
privately-held InfoGation Corporation in a cash and stock transaction
valued at approximately $8 million.
InfoGation is a company in the development of
on-board and handheld vehicle navigation systems, one of the larges smart device market segments. With this
acquisition, BSquare will increase its presence in the telematics
market with a new line of product and service offerings, according to the company.
InfoGation will become a wholly owned subsidiary of BSquare and its 26
employees will continue to operate out of its San Diego, California
Since 1996, InfoGation has been dedicated to developing telematics solutions for the global automotive industry.
Along with Microsoft and Clarion Co. Ltd., InfoGation created the
first in-car computing device, AutoPC, powered by the Microsoft
Windows CE for Automotive operating system.
"InfoGation's reputation as a premier automotive navigation
innovator with an outstanding commitment to customer service
complements BSquare's expertise in embedded systems and dedication to
delivering superior solutions to the smart device market," said
Clarion's Dr. Yasuhiko Nakagawa, director and GM of Product Strategy.
"Clarion will benefit from their collective technology and service
"One of the fastest growing segments of the smart device market,
telematics provide users access to emergency assistance, navigation,
and communications tools while on-board their vehicle," said William
Baxter, president and CEO of BSquare. "The quality of products,
customers and employees acquired through the InfoGation transaction
enhances our current offerings and allows us to deliver high quality
navigation and computing products to the market. We are confident of
our combined ability to provide increasingly integrated solutions, and
we believe InfoGation products and services will be accretive to our
revenue in early 2003."
According to BSquare, with the convergence of the Internet, wireless communications and
information and commerce services, InfoGation's software and services
connects cars to the Internet and enables car manufacturers and fleet
operators to differentiate their products. Dr. Kent Pu, founder of
InfoGation said, "Having InfoGation join the BSquare team will
strengthen our position as a leading supplier of telematics solutions
due, in part, to the advantages of BSquare's business infrastructure
and complimentary BSquare technology. We believe this merger will help
both groups achieve greater success and penetration in the smart
The transaction will be accounted for as a purchase of stock.
Consideration includes the exchange of approximately 1.3 million
shares of BSquare Common Stock and approximately $3.65 million in cash
for all of the issued and outstanding common and preferred shares of
InfoGation. In addition, each option to purchase shares of InfoGation
Common Stock outstanding at the effective time of the Merger will be
assumed by BSquare and will be treated as an option to purchase that
number of shares of BSquare Common Stock as calculated by the exchange
The definitive agreement has been signed, and closing of the
transaction will occur upon completion of standard closing conditions.
InfoGation's revenue and net loss were approximately $3.2 million and
$(1.9) million in fiscal year 2001, respectively; and had net equity
of approximately $600,000 at December 31, 2001.
InfoGation Corp. is a developer of navigation and
communication applications, integration services and real-time content
delivery. According to the company, its products and services enhance safety, security,
productivity and the overall driving experience. InfoGation enables
car manufacturers, Tier-1 auto suppliers, fleet operators and wireless
carriers to provide value-added services, enabling product
differentiation, increased customer retention and incremental
The company's customers and partners include some of the world's
leading car manufacturers, Tier-1 automotive suppliers and wireless
portal companies such as Microsoft, Clarion, Visteon, Peugeot Citroen
and Navigation Technologies. Founded in 1996, InfoGation is
headquartered in San Diego, California. More information on InfoGation
Corporation can be found at www.infogation.com
BSquare Corporation provides
solutions for smart devices in consumer, enterprise, industrial, and
automotive markets. As a Windows Embedded Partner Gold-level Member
for Microsoft, BSquare empowers the creation, connection, and
management of Windows Powered smart devices through software,
hardware, and service solutions. BSquare provides engineering services
including device development, quality assurance, and system
integration as well as services for managing client devices deployed
into the market. For more information, visit BSquare at
or call 888/820-4500.