Quarterhill Announces Closing of Red Fox Acquisition
TORONTO, April 8, 2024 /PRNewswire/ - Quarterhill Inc. ("Quarterhill" or the "Company") (TSX: QTRH) (OTCQX: QTRHF), a leading provider of tolling and enforcement solutions in the Intelligent Transportation System ("ITS") industry, announces that it has completed the previously announced acquisition of Red Fox I.D. Limited ("Red Fox").
Based in Haddenham, England, Red Fox is a profitable and growing provider of Automatic Vehicle Detection and Classification ("AVDC") software to the tolling industry. AVDC is responsible for the detection, classification and tracking of a vehicle as it enters and exits a tolling facility. Red Fox's Quantum software platform is able to process captured data from both LiDAR and "in pavement" inductive loops, making it unique in the market and at the forefront of advanced AVDC solutions.
"The Red Fox transaction met both our strategic and financial criteria for an acquisition, and we are pleased to welcome their team to Quarterhill," said Chuck Myers, CEO of Quarterhill. "Red Fox is a leader in AVDC software, and their products are an ideal fit with our increasing focus on technology as a differentiator in the market. We expect the acquisition to be immediately accretive to cash flow and Adjusted EBITDA, and we look forward to investing further in their product platform and capabilities."
For more information on Red Fox, visit www.redfoxid.co.uk
Quarterhill is a leading provider of tolling and enforcement solutions in the Intelligent Transportation System (ITS) industry. Our goal is technology-driven global leadership in ITS, via organic growth of our tolling and enforcement businesses, and by continuing an acquisition-oriented investment strategy that capitalizes on attractive growth opportunities within ITS and its adjacent markets. Quarterhill is listed on the TSX under the symbol QTRH and on the OTCQX Best Market under the symbol QTRHF. For more information: www.quarterhill.com.
This news release contains forward-looking information and forward-looking statements within the meaning of applicable Canadian securities laws (collectively, "forward-looking statements"). Such forward-looking statements relate to future events, conditions or future financial performance of Quarterhill based on future economic conditions and courses of action. All statements other than statements of historical fact may be forward-looking statements. Such forward-looking statements are often, but not always, identified by the use of any words such as "seek", "anticipate", "budget", "plan", "goal", "expect" and similar expressions. In particular, this news release contains forward-looking statements pertaining to, but not limited to, the following: the Company's business plan; anticipated financial and operational results of Red Fox; integration of Red Fox into the Company's business; future investment in the Red Fox product platform; and the impact of the Red Fox acquisition on Quarterhill's financial results.
Forward-looking statements involve known and unknown risks, assumptions, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Material risk factors that could cause actual results to differ materially from the forward-looking statements contained in this news release include, among others, demand for Quarterhill's products and services; general economic and market conditions; competition; risks relating to technological advances and cyber-security; and other risks set forth in the Company's most recent annual information form available on SEDAR+ at www.sedarplus.ca. The Company believes the expectations reflected in the forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. Material factors and assumptions used to develop the forward-looking statements contained in this news release include, among others: Quarterhill's ability to execute on its business plan; stock exchange approval of the Red Fox acquisition; successful integration of Red Fox; demand for Quarterhill's products and services; operating assumptions; and financial projections and cost estimates. Quarterhill has no intention, and undertakes no obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
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SOURCE Quarterhill Inc.
