Hartford Steam Boiler (HSB), part of Munich Re, announced the close of the acquisition of relayr, Inc., the Berlin-based industrial internet of things technology company.
HSB acquired 100 percent of relayr’s shares and equity interests for $251.7 million in cash after accounting for the 15.51 percent of HSB’s previous minority interest in the company. The transaction was funded through a capital contribution from Munich Re.
relayr provides internet of things (IoT) middleware, customized software and consulting to support the digital transformation of industrial and mid-sized commercial companies, said HSB in a statement.
“There are tremendous opportunities to develop new insurance and other financial products that provide assurance to industrial and commercial companies looking to make significant investments in IoT,” said Greg Barats, president and chief executive officer of HSB. “This acquisition enables relayr to offer a unique combination of IoT consulting and software with the financial assurance of a warranty.”
relayr will report to Barats who is also global lead of Munich Re’s IoT business. The acquisition strengthens and broadens the technology expertise accessible to HSB and Munich Re to meet the growing demand for IoT solutions in the commercial and industrial market.
“We are delighted to strengthen our relationship with HSB to push digitization in commercial and industrial markets and strive for our mission to help commercial and industrial businesses stay relevant,” said Josef Brunner, chief executive officer of relayr.
“The unique combination of the companies demonstrates the importance to deliver business outcomes to customers and the need to combine first-class technology and its delivery with powerful financial and insurance offerings. This transaction is a great opportunity to build a global category leader,” he added.
relayr focuses on helping its customers with cost reduction, energy efficiency, quality improvement or business model change. relayr will retain its brand and will remain an independent entity within HSB Group.
Source: Hartford Steam Boiler
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