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Trafficmaster Has Been Bought Out By Vector Capital
Vector Capital are an American company and they have recently bought out Trafficmaster a major player in the vehicle tracking systems market. They gave the shareholders 47p per share. This is very generous as it is around 40% higher than the average value of a Trafficmaster share.
Trafficmaster believe that this is good for the company as it will enable them to grow and develop the company further. Exactly how this change of ownership will change things for the company remains to be seen.
This type of company buy out only goes to show the confidence companies have in the growth potential in GPS vehicle tracking systems market.
Trafficmaster has been around for a while now and for a vehicle tracking company it is quite old. Back in 1999 the shares of the company were worth as much as £11 per share. These days have long gone and this high value on the share was partly caused by the dot com boom.
That said the company is still a profitable and successful operation and with further investment and development will no doubt continue to be and will probably grow even more successful.