MINNETONKA, Minn., Oct. 23, 2017 – Digi International®, (NASDAQ: DGII, www.digi.com), a leading global provider of Internet of Things (IoT) products and services, today announced that it has acquired TempAlert, a provider of automated, real-time temperature monitoring and task management solutions for the healthcare, industrial and foodservice industries. TempAlert will join the Digi Smart Solutions™ team. Digi purchased Boston-based TempAlert for $45 million in cash plus future earn out incentives.
With its origins at the Massachusetts Institute of Technology, TempAlert is now in use at more than 20,000 customer sites including Walmart, CVS Health, SpaceX, Apple, Coca-Cola, McDonald’s, and the U.S. Department of State. With its fourth strategic acquisition in 24 months, Digi is a leader in the space with nearly 35,000 customer sites and a deep presence in the healthcare, transportation, industrial and foodservice markets. In aggregate, the Digi Smart Solutions team offers more than 25 years of condition-based monitoring experience gained through managing more than 6 billion sensor readings.
Digi Smart Solutions improves the integrity of product quality and safety while simultaneously lowering costs, achieving higher levels of customer satisfaction and improving brand reputation. Digi’s automated, real-time monitoring solutions combined with task management software also address the needs of customers with unique challenges that span operational and safety regulatory requirements.
The TempAlert solution will not only be supported and enhanced, but also leveraged within Digi’s existing products and services to expand its advanced portfolio of solutions. Digi is excited to welcome TempAlert CEO Harry Schechter and the TempAlert team as employees of Digi Smart Solutions. Schechter will play a leading role in the IoT strategy going forward. Schechter will report to COO Kevin Riley.
“The acquisition of TempAlert doubles our Smart Solutions team to over 100 professionals, allowing us to offer our customers unprecedented domain expertise and support,” said Ron Konezny, president and chief executive officer, Digi International. “This acquisition firmly establishes Digi as a leader in condition-based monitoring, such as temperature and vibration, task management solutions and analytics. “
“This is a perfect match of expertise and a shared vision of the market opportunity in front of us,” said Schechter. “The combination of Digi’s market presence and complementary technology in conjunction with the TempAlert customer base presents a fantastic opportunity for Digi Smart Solutions.”
For more information visit: https://www.digi.com/smart-solutions.
Stephens Inc. served as exclusive financial advisor to Digi on the transaction.
About Digi International
Digi International (NASDAQ: DGII) is a leading global provider of business and mission-critical Internet of Things (IoT) products and services. We help our customers create next-generation connected products and deploy and manage critical communications infrastructures in demanding environments with high levels of security, relentless reliability and bulletproof performance. Founded in 1985, we’ve helped our customers connect over 100 million things, and growing. For more information, visit Digi’s website at www.digi.com, or call 877-912-3444 (U.S.) or 952-912-3444 (International).
TempAlert was founded in 2005 to transform how organizations sense, monitor, and make decisions. TempAlert automates monitoring for food and medication safety and compliance, and monitors critical equipment and tanks for product quality and preventative maintenance. Today, TempAlert has earned the trust of the most critical government, commercial, and non-profit institutions in the world. The TempAlert systems enable real-time sensor-driven decisions at over 2,000 organizations including Walmart, CVS Health, SpaceX, Apple, Coca-Cola, McDonald’s, and the U.S. Department of State.