WesTower Communications Ltd. acquires Cartel Communication Systems Inc. a Langley, British Columbia-based critical communications integrator. The company has completed the transaction for a purchase price of $15 million. WesTower acquires Cartel Communication Systems to strengthen its position in the Canadian communications infrastructure market.
Exchange Income Corporation, WesTower’s parent company, funded the purchase. First, EIC issued $2.25 million in common shares to the vendors. Next, it drew the remaining $12.75 million from its credit facility.
Cartel Strengthens WesTower’s Critical Communications Capabilities
Cartel designs, installs, and services dedicated wireless coverage systems. These systems keep mobile and emergency responder communications reliable inside buildings and other structures. However, conventional wireless coverage often falls short in such locations. As a result, demand for in-building wireless and emergency responder coverage continues to grow.
The combination expands WesTower’s communications design, engineering, and systems integration capabilities. Cartel also brings specialized expertise in distributed antenna systems and other dedicated wireless coverage solutions. Moreover, the company holds established certifications and customer relationships across public safety, healthcare, transportation, and government markets.
WesTower, meanwhile, offers a national footprint. It also has experience building and maintaining the infrastructure that supports Canada’s wireless and wireline networks. Consequently, the combined businesses will pursue larger and more complex projects. In addition, they will give customers a more comprehensive communications infrastructure offering.
Nathan Schauerte, President & CEO of WesTower, explained the strategic fit behind the deal.
“Cartel is a natural extension of what WesTower does today,” said Nathan Schauerte, President & CEO of WesTower. “We build the networks that connect Canadians, and Cartel designs and supports the dedicated systems that keep people and first responders connected where reliable coverage matters most. Together, we can provide customers across Canada with a complete offering. We are pleased to welcome the Cartel team to WesTower.”
Dave Sanche, CEO of Cartel, also shared his view on the next chapter for the company.
“For more than four decades, the Cartel team has delivered critical communications systems for customers across Canada,” said Dave Sanche, CEO of Cartel. “Joining WesTower and EIC will give Cartel the resources and national reach to scale the business and pursue additional projects. I am proud of what our team has built and look forward to seeing Cartel continue to grow as part of WesTower.”
Both companies bring Cartel Communication Systems complementary capabilities and a shared focus on reliable communications infrastructure. With greater resources, they are positioned to deliver greater value to customers across Canada. Furthermore, the WesTower acquisition of Cartel lets them expand their ability to address increasingly complex connectivity requirements.
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News Source: Businesswire.com
