NAVTEQ Buys Traffic.com
November 6, 2006 at 8:48 AM (PT)
Digital traffic information supplier NAVTEQ is buying TRAFFIC.COM for $179 million in cash and stock ($47 million cash, the rest in stock).
The WAYNE, PA-based TRAFFIC.COM, which supplies traffic information to radio stations and for online and navigation services, already supplied NAVTEQ's auto navigation systems with traffic data. Closing is expected in first quarter 2007; both companies' boards have approved the deal.
Meanwhile, TRAFFIC.COM reported that third quarter revenues rose 22% to $13.1 million, with ad revenue up 15% to $11 million. The company sustained a net loss that narrowed from $20.2 to $6.4 million ($6.05-31 cents/share), although 2005's number included $14 million in one-time legal settlement costs.