Montvale-based technology firm Micronet Enertec Technologies Inc. is selling a subsidiary in a transaction worth $9.25 million, it announced Tuesday.
Coolisys Technologies Inc., a subsidiary of DPW Holdings Inc., is paying $5.25 million in cash and assuming $4 million in debt in the deal for the defense and aerospace subsidiary Enertec Systems 2001 Ltd., under a definitive agreement.
The deal is expected to help Micronet Enertec focus more narrowly on the mobile resource management space, it said in a news release.
“We are extremely excited to enter into this agreement, which strongly supports and fully aligns with our roadmap to increase the value of our company by focusing all our resources on the MRM space,” Micronet Enertec CEO David Lucatz said in a prepared statement. “As the second phase of the Electronic Logging Device mandate is now in effect, we believe 2018 will produce an even greater market demand, which we believe may increase the revenues and profitability of our MRM business in the coming years.”
The deal is expected to close 60 days after signing, or 15 days after delivery of Enertec’s audited financial statements.
