Pointer, Through its Subsidiary Shagrir, Establishes a Limited Partnership for the Acquisition of the Activity of TMC Transportation Ltd.
ROSH HAAYIN, Israel, November 7, 2011 /PRNewswire/ –
Pointer Telocation Ltd. (Nasdaq: PNTR, TASE: PNTR) – a leading supplier
of technology and services for managing mobile resources and providing
roadside services to the vehicle industry and to the insurance market, today
announced that its subsidiary, Shagrir Systems Ltd., has signed a
partnership agreement with TCM Transportation Ltd., a company supplying
advanced technological solutions for taxi and transportation service fleets.
Shagrir will hold 51% of the rights in the partnership’s equity.
TMC Transportation Ltd. specializes in providing advanced technological
solutions for the management, control and collection of the travel fares in
taxi and transportation service fleets. SMARTAXI – TMC’s flagship product is
an advanced system installed in taxis that enables paying the travel fare by
credit card, as well as management and control of taxi services for the
business sector through an advanced internet website that provides
follow-up, authorizations and accounting capabilities.
As part of the transaction TMC will transfer its activities to a limited
partnership to be jointly established by Shagrir and TMC, which will provide
advanced technological solutions for the management, control and collection
of travel fares from taxi and transportation service fleets. Shagrir will
provide the new partnership with a partner’s loan of up to NIS 2.5 million -
in accordance with the partnership needs. This loan will carry an annual
prime rate interest plus 4% and will be refunded to Shagrir from the
David Mahlab, President and CEO of Pointer: “We have the pleasure of
announcing Shagrir entering into a partnership with TMC. Penetrating the
field of solutions for collecting travel fares from taxi and other
transportation service fleets is part of Pointer’s comprehensive vision for
promoting all aspects of the vehicles sector, providing technological
solutions through on-line services in order to improve the service to the
customer and optimize routine operations.”
About Pointer Telocation
Pointer is a leading supplier of MRM (Mobile Resource Management) for
the motor vehicle industry. The combination of technological supremacy and
innovation enables Pointer to develop and manufacture unique communications
solutions to meet customers’ needs. The Company provides a range of services
to insurance companies and vehicle owners, including road services, car
towing, locating stolen cars, managing vehicle fleets, safety products and
other value added services.
Pointer has grown in recent years also through successful implementation
of acquisitions in Israel and Argentina and establishing business branches
and partnerships in Mexico, Romania and Brazil. In April 2004, the Company
acquired the assets and operations of Shagrir, and in 2007 the Company
acquired the assets and operations of Cellocator. Pointer has offices in
Israel, Argentina, Mexico, Brazil and Romania.
Pointer has a growing list of customers and products installed in more
than 45 countries. Among the Company’s customers are insurance companies
that offer or require towing services and locating services of vehicles as
part of the insurance policies they sell.
Pointer shares are traded on NASDAQ (PNTR) and the Tel Aviv Stock
The Company’s top management and the development center are located in
the Afek Industrial Park of RoshHa’ayin.
This press release contains historical information and forward-looking
statements within the meaning of The Private Securities Litigation Reform
Act of 1995 with respect to the business, financial condition and results of
operations of the Company. The words “believe,” “expect,” “anticipate,”
“intend,” “seems,” “plan,” “aim,” “should” and similar expressions are
intended to identify forward-looking statements. Such statements reflect the
current views, assumptions and expectations of the Company with respect to
future events and are subject to risks and uncertainties. Many factors could
cause the actual results, performance or achievements of the Company to be
materially different from any future results, performance or achievements
that may be expressed or implied by such forward-looking statements,
including, among others, changes in the markets in which the Company
operates and in general economic and business conditions, loss or gain of
key customers and unpredictable sales cycles, competitive pressures, market
acceptance of new products, inability to meet efficiency and cost reduction
objectives, changes in business strategy and various other factors, both
referenced and not referenced in this press release. Various risks and
uncertainties may affect the Company and its results of operations, as
described in reports filed by the Company with the Securities and Exchange
Commission from time to time. The Company does not assume any obligation to
update these forward-looking statements.
Contact: Zvi Fried, V.P. and Chief Financial Officer Tel.; +972-3-572 3111 E-mail: email@example.com [firstname.lastname@example.org ] Chen Livne, Gelbart-Kahana Investor Relations Tel: +972-3-607 4717, +972-54-302 2983 E-mail: email@example.com
SOURCE Pointer Telocation Ltd