Digi International, a supplier of IoT solutions, agreed to acquire Opengear for upfront cash of approximately $140 million with a potential for contingent consideration of up to an additional $15 million based on revenue performance through 2020.
Opengear, which was founded in 2004, supplies failover-to-cellular and out-of-band management solutions to a broad range of Fortune 100 and other customers. Opengear is headquartered in Edison, New Jersey, with R&D centers in Silicon Valley and Brisbane, Australia, with an additional office in Sandy, Utah. Opengear is expected to retain its existing office locations and future office consolidations, if any, will be designed to minimize disruption to employees and customers.
“Joining forces with Opengear gives customers an expansive, high-value, technology portfolio that is hardware enabled and software defined,” said Ron Konezny, President and CEO of Digi International. “Both companies have a deep commitment to our customers and will continue to invest in product development to deliver business- and mission-critical solutions.”
“Digi and Opengear will mesh well as we share so many of the same values in how we treat our customers and employees,” said Opengear CEO Gary Marks. “Our products are complementary, so customers and partners will get exceptional choice.”
