AIM-listed Telit Communications has entered the M&A market for the third time in 2011 through the purchase of Navman Wireless OEM Solutions for $3 million (£1.9 million) in cash.

AIM-listed Telit Communications has entered the M&A market for the third time in 2011 through the purchase of Navman Wireless OEM Solutions for $3 million (£1.9 million) in cash.

On the back of deals for Motorola M2M in January and GlobalConect in July by the telecoms business, Telit’s acquisition of US-based Navman boosts its global positioning system (GPS) services for its machine-to-machine (M2M) wireless technology customers.

M2M technology allows wireless and wired systems to communicate with other devices of the same ability.

London-headquartered Telit says that global shipments of GPS devices will grow at a compounded annual growth rate of more than 20 per cent this year to reach 900 million units sold in the market, which in turn will generate $70 billion in annual revenue.

Oozi Cats, chief executive officer of Telit, says the buy provides Telit with new customers and products beyond the ‘traditional M2M industry’.

He adds: ‘The acquisition strengthens our position as the premier product and consultative partner in the M2M industry by leveraging the synergies of both companies to better serve our global customers.’

Navman is expected to generate approximately $7.1 million or revenue and $200,000 or EBITDA in the year to 31 December 2011.

George Arnott, vice president of Navman’s global OEM services, will manage the business unit under Telit’s ownership.

Arnott adds: ‘With our pioneering GPS engineering background, we are also excited about the possibility of creating new hybrid GPS and wireless M2M innovations for Telit customers.’