Digital mapping data provider Navteq Corp has revealed that it is to purchase The Map Network for $37.5m in cash.
Navteq offers digital map information for car navigation systems, personal navigation devices, and internet-based mapping applications. It said it is acquiring the privately-held Washington DC-based producer of official maps for travel destinations, special events and major hotels and marquee venues, in order to increase the level of detail it can add to its digital maps.
The Map Network produces maps in both print and online form, for over 90 cities in the United States. The map content is so detailed that it includes detailed building layouts (interior and exterior), event listings, and locally relevant community and business Points of Interest and information.
The Map Network's content and capabilities are a natural extension of Navteq's core map business and will enable Navteq to augment its portfolio with rich, location-specific detail, the Chicago, Illinois-based company said. This acquisition supports our focus of enhancing the Navteq map and navigation experience with more of the local content requested by our customers.
In addition to the enhanced local content, The Map Network's proprietary mapping tool allows clients to customize the map in real time and publish to a network of map users.
The deal is subject to certain adjustments and closing conditions, but has the backing of the board of directors at each company. It is expected to close before the end of the year and to be slightly dilutive to earnings per share in 2007.
In early November, Navteq announced the purchase of traffic information provider Traffic.com for $179m. This purchase gave Navteq access to real-time customized traffic reports in 50 metropolitan areas in the United States, gathered via a network of roadside sensors.