Tyco announces $175 mn deal to acquire ShopperTrak

tyco

Tyco International announced today that it has reached a definitive agreement to acquire ShopperTrak, a global provider of retail consumer behavior insights and location-based analytics, for approximately $175 million in cash.

The Chicago-based ShopperTrak provides customer traffic and related intelligence to more than 1,200 retailers in 97 countries.

Tyco’s latest move follows recent acquisition of FootFall, a global provider of retail traffic analytics based in the U.K.

Tyco expects these acquisitions to capture data from 35 billion shopper visits annually and provide the retail industry with unprecedented global store traffic insights.

“Tyco is working with the world’s leading retailers to meet their omni-channel needs and respond to changing consumer behavior. The ShopperTrak acquisition will enable us to help retailers effectively improve the shopper’s experience, thus enhancing their revenues and profitability,” said Girish Rishi, Tyco’s Executive Vice President, North America Integrated Solutions & Services and Global Retail Solutions.

ShopperTrak currently generates approximately $75 million of annual revenue.  Tyco said the acquisition is expected to be neutral to earnings in the first 12 months following the completion of the transaction.

Excluding purchase accounting from amortization, Tyco expects the transaction to be $0.02 accretive to earnings per share before special items (EPS) over the same period.

The transaction is subject to customary closing conditions and regulatory approvals and expected to close in Tyco’s fiscal second quarter.

Arya MM

[email protected]