Why Transportation Safety Solutions Provider SaverOne Shares Are Trading Higher Today

SaverOne 2014 Ltd SVRE shares are trading higher after the company disclosed the acquisition of certain operations, products, and IP of Micronet Ltd. for an undisclosed amount.

Micronet, a publicly traded company on the Tel Aviv Stock Exchange, develops advanced telematics systems cameras and Driver Monitoring Systems (DMS). 

The buyout will boost SVRE's product portfolio and customer base and is expected to enhance its go-to-market strategy in the U.S. market.

The acquisition is expected to be immediately accretive to SaverOne following closure. The deal is expected to be signed and close in early 2024.

Ori Gilboa, CEO, said, "Aligned with our strategy, we see strong synergies with SaverOne's existing activities, leveraging the addition of Micronet's product portfolio. Micronet's customer-base in the United States is expected to create strong added-sales opportunities for SaverOne systems. We believe that we are acquiring a strong IP suite, including a leading DMS product and next-generation cameras that well compliment our existing product lines." 

"This transaction represents potential immediate revenue growth given Micronet's product suite including a new integrated Camera with our DDPS product, as well as opportunities for additional new customers, particularly in the United States."

Price Action: SVRE shares are up 8.35% at $0.5517 on the last check Wednesday.