Mubasher: Investcorp announced that its portfolio company ABAX, the leading telematics solutions provider in the Nordics, has acquired Automile, a Nordic-based provider of telematics and internet of things (IoT) services.

The transaction represents ABAX’s third and largest add-on acquisition since Investcorp’s investment in 2017 and has positioned the combined group as a global telematics leader with more than 360,000 subscriptions, according to a press release on Monday.

The addition of Automile bolsters ABAX’s growth platform, bringing together a highly complementary portfolio of telematics solutions that will leverage ABAX’s global IoT network.

This will position ABAX as the second-largest company in the European telematics market and enable it to offer new and existing customers a wider range of value-added connectivity services with greater geographic coverage.

“We backed ABAX to acquire Automile as the transaction enhances ABAX’s leadership position in the highly fragmented and growing telematics market, which we believe remains underpenetrated despite increased rates of adoption,” said Investcorp’s Head of Private Equity, Europe, Daniel Lopez-Cruz.

Group CEO of ABAX, Morten Strand, said, “The acquisition is an important step for us to further strengthen our operations and our position in the Nordics, Europe, and globally. Together with Automile, we will be at the forefront of innovation with the most modern, open, and advanced telematics platform.”

Established in 2003, ABAX is one of Europe’s largest telematics solution providers and represents Investcorp’s fourth investment in the space, with other notable investments including SageQuest and Fleetmatics.