KVH has sold Viedotel for $90m to Oakley Capital as it looks to increase its investment in photonic integrated chip technology, AgilePlans acceleration, and Internet of Things (IoT) connectivity.
“As part of our long-term strategic roadmap, we are focusing on the large and growing markets of our core mobile connectivity and inertial navigation businesses,” said Martin Kits van Heyningen, ceo of KVH. “We intend to use the net proceeds of the sale to invest in three key growth initiatives that we expect will drive significant value creation, as well as to reduce our debt.”
Oakley Capital is also acquiring is also acquiring Seagull with Oscar Johansen, chairman and founder of Seagull, taking up the role of president of the combined group, while Roger Ringstad and Raal Harris will continue to lead Seagull and Videotel, respectively. No further operational changes are planned for the two companies.
A significant opportunity is seen for e-learning providers in maritime with the digitalisation of the industry and an increasing burden of regulation. “In combining our expertise and sharing the additional resources that an ambitious and forward-thinking company like Oakley can provide, we will be able to meet the needs of our customers in ways never previously possible,” Harris, md of Videotel commented.
Ringstad, md of Seagull said: “As the shipping industry continues to make advancements in digitalisation, we see significant opportunities to further enhance the breadth and depth of products and services we offer our clients. In Videotel and Oakley we believe that we have the perfect partners to support us on that journey.”