This is M&A deal number 380 that ChannelE2E has covered so far in 2020. See the full M&A deal list here.
Ericsson, one of the largest providers of Information and Communication Technology (ICT) to service providers, is seeking to bulk up its 5G wireless expertise and customer footprint.
Cradlepoint may fulfill that need. The acquired company, founded in 2006, provides cloud-delivered LTE and 5G wireless network edge solutions for branch, mobile, and IoT networks. Cradlepoint is based in Boise, Idaho, and has a development center in Silicon Valley, and international offices in the UK and Australia.
Joe Kaiser, director at Traverse Fund, commented on this latest deal:
"We offer our sincere congratulations to George Mulhern and the entire team for successfully nurturing a vision of wireless interconnectivity in the Intermountain West. Building a world-class technology company in the shadows of the Sawtooth Mountain Range in Idaho is a tribute to their determination and reinforces our belief at Traverse that innovation is not limited by location. We look forward to their integration with the global telecom power, Ericsson."
Mercato’s Traverse Funds are built upon developing what it sees as opportunities in underserved and overlooked markets and helping them grow. Over the past 11 years, the team has found, funded and collaborated with high-growth companies to build long-term value and enable successful exits for the companies’ founders.
This deal marks the second $1 billion-plus transaction for Mercato, and its third overall in 2020. In April the fund sold Salt Lake City-based Galileo Financial Technologies to fintech giant SoFi for $1.2 billion. In June, it sold Utah-based Central Logic to Rubicon Technology Partners.