Minorplanet Systems USA, Inc., a provider of telematics-based management solutions for commercial fleets, on Oct. 7 announced that Minorplanet Systems PLC (MPUK) has transferred 42.1 percent (20.4 million shares) of the outstanding common shares of Minorplanet Systems USA, Inc. (MPUSA) to Erin Mills Investment Corp., ending MPUK's majority ownership position of MPUSA. Following the transfer, Erin Mills now holds 46.7 percent (22.2 million shares) of MPUSA's outstanding common stock, while MPUK retains 19.9 percent (9.6 million shares).
In connection with the MPUK share transfer to Erin Mills, MPUSA also entered into a Stock Repurchase Option Agreement with Erin Mills under which MPUSA has the option to repurchase from Erin Mills up to 19.4 million shares of MPUSA common stock for $0.01 per 1,000 shares.
"We believe that the completion of the transfer of the shares from MPUK to Erin Mills is a significant event for our company, since we may
repurchase the shares from Erin Mills at our option whenever we have the need to do so," said W. Michael Smith, chief operating officer of Minorplanet Systems USA. "As a result, these shares should provide our company with a mechanism for raising capital with less dilution to our shareholders."
About Minorplanet Systems USA, Inc.
Minorplanet Systems USA, Inc. (www.minorplanetusa.com
) markets, sells and supports Vehicle Management Information(TM) (VMI), a
fleet management solution that, according to the company, "contributes to higher customer revenues and improved operator efficiency."
"VMI combines the technologies of the global positioning system (GPS) and wireless vehicle telematics to monitor vehicles, minute by minute," according to the company.
The company also markets, sells and supports a customized, GPS-based fleet management solution for large fleets like SBC Communications, Inc., which has approximately 34,000 installed vehicles now in operation.
Headquartered in Richardson, Texas, Minorplanet currently markets its VMI fleet management technology in the Dallas/Fort Worth, Houston,
Atlanta, Los Angeles and Austin, Texas, markets, with plans for expanding into other metro markets in the future.