(San Diego, CA) The Cubic Corporation has always striven to improve the operational readiness, and, effectiveness of the U.S.A.’s military. Additionally; it is recognized globally for its systems, procedures and techniques. The latter; are used to be able to collect, and, disseminate information. Fascinatingly, the term C4ISR is also used. Recently, the Cubic Corporation announced that, it has a definitive agreement to acquire Gridsmart Technologies, Inc. The aforementioned business, is best known for its video tracking intelligent traffic systems (I.T.S.). The acquisition cost was revealed, at approximately, $87 million USD in cash money.
For the approximate $87 million dollars, the Cubic Corporation (NYSE: CUB) will receive the following. To start, Cubic will receive Gridsmart’s specialized video detection technology. The previously stated; is used at street intersections, and, it utilizes advanced image processing. From this point there is computer vision modeling, along with, machine learning use; of a single camera technology solution. This single camera technology solution, is able to, provide very useful data. This data can become the best in its class; for the optimization and flow of people, and, street traffic at street intersections. Proprietary technology from Gridsmart finishes off everything. For example, this technology as a system, can track the trajectory of an automotive vehicle. The tracked trajectory is for the approach, the middle and the exit of the street intersection. Throughout the last several years; Gridsmart has classified more than 43 billion automotive vehicles, at more than, 7,000 street intersections. The latter, is for 1,200 cities around the world. Additionally, the video storage capacity is estimated at, 54 million hours. Finally, Gridsmart is headquartered out of Knoxville Tennessee, U.S.A. Bill Malkes is the Chief Executive Officer of Gridsmart Technologies, Inc. Through a press statement, Mr. Malkes said the following. “Advanced traffic management build on Smart Sensors is a key to efficient and responsible city management. As this need continues to grow not only in cities across the U.S. but also throughout the world, we look forward to seeing the synergies and growth opportunities of our solutions utilizing Cubic’s market leadership and international presence. We are pleased to become a member of the Cubic family where GRIDSMART’s vision to improve one billion lives with intelligence will continue in alignment with Cubic’s overall purpose.”
The definitive agreement to acquire, and the approximated, $87 million dollar cost is based on the following. For the business calendar year, 2019, Gridsmart Technologies, Inc. is expected to make $35 million dollars in profits. Additionally, an additional $8 million dollars is for the E.B.I.T.D.A. The previous is an acronym that means earnings before interest, taxes, depreciation and amortization. For the payment in cash money, Cubic, anticipates that it will use existing credit lines or agreements. However, Cubic also hopes that the acquisition will be accretive, to the corporation’s price per share of common stock. Accretive means that, it adds value.
Bradley H. Feldmann is the Chairman, President and the C.E.O. of the Cubic Corporation. Through a press statement, Mr. Feldmann said the following. “GRIDSMART’s industry-leading video tracking solution at the intersection is a key addition to our growing Intelligent Traffic Management portfolio to reduce congestion. It is complementary to our recent acquisition of Trafficware, both of which are cash EPS accretive in first full year of operations. We welcome GRIDSMART to the Cubic family and look forward to their contribution in executing our company’s strategy and purpose to make a positive difference in people’s lives.” Matt Cole is the President of Cubic Transportation Systems at the Cubic Corporation. Through a press statement, Mr. Cole said the following. “Detection is the largest and fastest growing segment within the intelligent traffic management market and is critical to enabling smart intersections that can optimize the flow of people and goods through cities, which is core to the Operations and Analytics pillar of the NextCity vision. This strategic investment in GRIDSMART will not only enhance our growth profile through synergies with Trafficware but also strengthen Cubic’s Surface Transport Management solution offering.”
To end and as previously stated, the Cubic Corporation has a definitive agreement to acquire, Gridsmart Technologies, Inc. The former, is globally known for its C4ISR military systems. The acronym C4ISR means command, control, communications, computer, intelligence, surveillance and reconnaissance. The latter, Gridsmart, is best known for its proprietary video tracking intelligent traffic systems (I.T.S.). Finally, the acquisition cost was revealed at approximately, $87 million USD in cash money.
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Written from Press Release
Registered Writer with
PR Newswire Association, LLC
R-Berumen28
01/05/2019
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