Published on 1st June 2012
“Verizon Communications said on Friday that it had agreed to buy Hughes Telematics, a maker of wireless systems for vehicles, for $612m in cash. Under the terms of the deal, Verizon will pay $12 a share, an exorbitant premium to Hughes’ Thursday closing price of $4.35. The deal is aimed at building up Verizon’s offerings in products like GPS and auto safety and entertainment features, at a time when telecom companies are seeking new sources of revenue,” according to the New York Times.