Zebra to accelerate connected experiences with purchase of Elo Touch
The acquisition of Link Touch on the part of Zebra, for an amount of 1.300 million dollars, will drive the vision of digitizing and automating operations.
Zebra Technologies Corporation has signed an agreement to acquire Elo Touch Solutions, company that focuses its activity on retail markets, hospitality, quick service restaurants (QSR), medical care and industrial, for an amount of 1.300 million dollars.
With complementary portfolios and similar go-to-market strategies, Zebra and Elo will offer a solution offering that responds to the changing needs of their customers in close partnership with leading independent software vendors. (ISV), payment solution providers (PSP), value added resellers (OUR) and distributors.
Zebra hardware solutions, software and services will be increased by the set of consumer-oriented digital kiosks, edge computing, Elo touchscreen payments and systems for a more complete experience.
“This acquisition represents the next step in our path to drive frontline connectivity., a fundamental pillar of our growth strategy”, states Bill Burns, CEO of Zebra Technologies. “An increased focus on self-service and consumer-facing workflows will expand our potential market by approximately 8.000 million dollars and will create a leading portfolio of solutions that digitize and automate the first line of business. “We look forward to welcoming the Elo team to Zebra and exploring new growth opportunities together following the closing of the acquisition.”.
Elo offers a wide range of solutions adapted to each sector that modernize points of sale (VAT), optimize self-service and payment experiences, automate workflows in kitchens and industries, and optimize production and process management.
This acquisition will strengthen Zebra's offering in the field of self service and will complement your kiosk solution recently launched.
Together with Elo, Zebra will position itself to capitalize on trends impacting retail. Business combination will enable retailers and quick-service restaurants to enhance the consumer experience within the 'AI-powered Modern Store'.
Zebra's global reach, Its extensive service capabilities and deep customer relationships will accelerate Elo's expansion into new markets and geographies.
“Combine mobility solutions, “Zebra’s market visibility and automation with our expertise in consumer-facing workflows will bring significant value to our customers and partners.”, afirma Craig Witsoe, CEO of Elo.
Transaction details
Zebra plans to finance the purchase price of 1.300 million dollars with a combination of cash on hand and financing from its line of credit. The transaction is subject to customary closing conditions., including regulatory approval, and is expected to close in 2025.
Elo records annual sales of approximately 400 million dollars, with annual sales growth (5-7 % throughout a cycle) and an Ebitda margin profile similar to that of Zebra. The transaction is expected to be immediately accretive to earnings upon closing and generate additional annual Ebitda of 25 million dollars through synergies for the third year.
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