Logistics-software maker Telogis Inc.’s latest acquisition will add more than 100 employees and key customers on the East Coast.
The Aliso Viejo-based company acquired Salisbury, Md.-based Navtrak Inc., which targets small to midsize businesses, on undisclosed terms. It’s the third buy since December for Telogis, which operates in the crowded niche known as “software as a service.”
“We’ve got other plans to buy more,” Chief Executive Dave Cozzens said. “We want to grow for the long term.”
The company, which started in 2001, uses global positioning systems and software to help companies with large fleets of delivery trucks create better routes, track shipments and deliveries, and cut costs. Its customers include government agencies, food and drink makers, oil and gas utilities, and others.
Telogis now has 300 employees, doubling headcount in the last year, and has pegged sales to grow to $80 million to $100 million this year. Big-name clients include Atlanta-based Coca-Cola Co. and Dallas-based AT&T Inc.
That would be a big jump from the $15 million in sales it posted in 2011, but the company has seen big revenue spikes in the past. In 2010 the company was No. 14 on the Business Journal’s fast-growing companies list after growing sales 185% over two years.
In April Telogis moved into a new 26,000-square-foot headquarters, doubling the space from its prior building. It was the company’s fourth move in the last four years.
It also operates development centers in New Zealand, Toronto and Austin, Texas, with sales offices throughout Europe and Latin America.
Industry consolidation and strong relationships in the automotive sector have spurred recent growth.
“The market has matured but the technology is being readily adopted by our customers,” Cozzens said.
Quantum’s Exit Sign
Quantum Fuel Systems Technologies Worldwide Inc. has signaled its first move to exit the renewable energy sector.
The company late last month confirmed it received an unsolicited, conditional offer from Schneider Power Inc.’s management to purchase all outstanding stock of the Toronto-based subsidiary.
Schneider develops and owns wind farms in the U.S., Canada, Germany and the Caribbean.
Quantum has hired Ardour Capital Investments LLC to help evaluate the management buyout offer and identify other potential opportunities and strategic alternatives for Schneider’s renewable energy portfolio.
The company is refocusing efforts and resources solely on the automotive sector in the wake of the May resignations of former Chief Executive Alan Niedzwiecki and Chairman Dale Rasmussen.
Chief Executive Brian Olson, who took over the post in June after serving on an interim basis, has emphasized the operational shift since taking the helm.
Quantum, since it was established in 2000, has tinkered with many business lines beyond its primary revenue source—the engine, transmission, fuel tank and other parts that make hybrid vehicles go.
Quantum plans to shed its Irvine headquarters by the end of the year, consolidate all operations to a three-building campus in Lake Forest, and rein in executive compensation and other corporate overhead expenses as part of a wide-reaching cost-cutting plan.
The company announced its intent to assess its renewable energy portfolio and minority-owned investments immediately after the executive shake-up.
Defense Work
Tustin-based MillenWorks Inc. has inked an 18-month contract from the U.S. Army’s Research, Development and Engineering Command, or RDECOM, to develop two components for a helicopter crew safety system.
The deal is under $1 million and represents the next phase of a five-year project as the system nears production.
Lab tests, design and other work will be done by MillenWorks, which will work with RDECOM’s Aviation Applied Technology Directorate in Fort Eustis, Va.
The company will refine the headrest and harness system, which activates before a crash. Earlier tests proved the system increased safety for pilots and passengers during a crash.
MillenWorks will use its experience in developing vehicle suspension systems to design and test rubber helicopter crash seats as well.
MillenWorks is a unit of Wilmington, Mass.-based Textron Inc., which sees annual sales of more than $11 billion, with a recent market value of $7.42 billion.
