Pointer Telocation Systems Ltd. (Nasdaq:PNTR; TASE:PNTR) today announced that its subsidiary Shagrir Systems Ltd., has acquired a 51% stake in TCM Transportation Ltd., which supplies advanced technological solutions for taxi and transportation service fleets. Pointer Telocation supplies technology and services for managing mobile resources and providing roadside services to the vehicle industry and to the insurance market.
The deal will cost Pointer NIS 2.5 million in the form of a partner's loan. This loan will carry an annual prime rate interest plus 4% and will be refunded to Shagrir from the partnership's profits.
TMC specializes in providing advanced technological solutions for the management, control and collection of the fares in taxi and transportation service fleets. SMARTAXI - TMC's flagship product is an advanced system installed in taxis that enables paying the travel fare by credit card, as well as management and control of taxi services for the business sector through an advanced internet website that provides follow-up, authorizations and accounting capabilities.
Pointer president and CEO David Mahlab said, "Penetrating the field of solutions for collecting travel fares from taxi and other transportation service fleets is part of Pointer's comprehensive vision for promoting all aspects of the vehicles sector, providing technological solutions through on-line services in order to improve the service to the customer and optimize routine operations."
Published by Globes, Israel business news - www.globes-online.com - on November 7, 2011
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