Trimble (NASDAQ: TRMB) and Platform Science announced that Platform Science will acquire Trimble’s global transportation telematics business units. The agreement includes Trimble becoming a shareholder in the expanded Platform Science business.
The transaction aims to improve driver experience, fleet safety, efficiency and compliance by integrating two advanced in-cab commercial vehicle ecosystems. Customers will gain access to more applications and offerings.
After the transaction closes, Trimble’s telematics customers will continue to benefit from their existing solutions while also using the Virtual Vehicle platform. This platform will allow enabled fleets to access a new Virtual Vehicle Marketplace, which features hundreds of new applications and services.
“We believe combining our global transportation telematics portfolio with Platform Science’s will further advance fleet mobility and provide our customers with a broader portfolio of solutions to solve industry problems,” said Rob Painter, president and CEO of Westminster-based Trimble.
Upon closing, Trimble will hold a 32.5% stake in the newly expanded Platform Science business and will receive a board seat. Trimble joins other strategic investors like C.R. England, Cummins, Daimler Truck, PACCAR, Prologis, RyderVentures and Schneider, alongside financial investors including 8VC, Activant Capital, BDT & MSD Partners, Softbank and NewRoad Capital Partners.
Trimble’s telematics units generated approximately $300 million in revenue and about $30 million in operating profit over the last twelve months, with annualized recurring revenue of roughly $200 million in the second quarter of 2024. The divestment is expected to positively affect Trimble’s organic revenue growth rate, organic ARR growth rate, gross margin and operating profit margin.
Trimble’s other transportation business units will remain unaffected by the transaction and will continue to focus on key growth areas.
The transaction is projected to close in the first half of 2025, pending customary closing conditions and regulatory approvals.
Advisors include Centerview Partners LLC and Goldman, Sachs & Co. LLC for Trimble and J.P. Morgan Securities LLC for San Diego-based Platform Science.