NEW YORK, July 26, 2012 /PRNewswire/ -- Verizon Communications Inc. (NYSE, NASDAQ: VZ) today closed its previously announced acquisition of HUGHES Telematics Inc.(HTI), setting Verizon on a course to accelerate growth through the delivery of advanced automotive and fleet telematics and machine-to-machine services.
The addition of HTI will expand and accelerate Verizon Enterprise Solutions' capabilities for automotive, transportation, health care and other industries to uncover and launch new business opportunities, driven by safety improvements, consumer trends and increasingly connected lifestyles.
"Machine-to-machine services are beginning to play a vital role reshaping the business landscape and setting new consumer expectations about establishing valuable connections in their vehicles, their homes and the world around them," said John Stratton, president of Verizon Enterprise Solutions. "This powerful combination will create a springboard for our clients to expand their business models and strengthen their customer relationships by creating new opportunities for connected services that address the increasingly sophisticated consumer and enterprise."
The acquisition was completed through a merger under Delaware law of a wholly owned subsidiary of Verizon with HTI, with HTI surviving the merger. As a result of the merger, all outstanding shares of HTI have been canceled, and all shares that are quoted on the OTC bulletin board under the symbol "HUTC" and publicly tradable have been converted into the right to receive $12 per share in cash without interest and subject to any required withholding of taxes. With the closing of the transaction, the common stock of HTI ceased to be quoted on the OTC Bulletin Board as of market close on July 25, 2012.HTI will play a key role in Verizon's strategy to offer platform-based solutions tailored to specific industries. Later this year, businesses will be able to employ combinations of Verizon's leading global IP network, cloud, security and mobility technology platforms with offerings from HTI's advanced suite of services.