French network operator Sigfox has sold its German low power, long range network for the Internet of Things (IoT) to a fund manager to raise cash.
The deal with fund manager Cube Infrastructure Managers (Cube) is pitched as strategic alliance, as it is also buying a majority stake in Heliot Europe, the owner and operator of the Sigfox networks in Austria, Switzerland and Liechtenstein, to create a Europe-wide IoT network.
The value of the German sale was not disclosed but it will allow Sigfox to finance its continued innovation efforts in data value extraction and improvements in cloud algorithms to reduce energy consumption and allow the implementation of even more cost-effective devices and sensors says the company
Sigfox has networks in 72 countries and regions, some owned directly such as Germany but most owned by partners such as Heliot, called Sigfox Operators. These operators are the owners of the networks, which they operate as exclusive connectivity providers of Sigfox IoT services, offering worldwide connectivity to customers.
Cube sees the deal as bringing together the networks of all four countries to create the largest IoT network in Europe. The aim is to accelerate the growth of this essential and exclusive IoT infrastructure in the region in joint venture with the operating management of the networks, which retains a minority stake in Heliot Europe.
"The acquisition of Sigfox Germany is a key milestone in our development and we will pursue commercial development initiated by Sigfox Germany with tier one customers in the country and beyond, in retail, automotive and logistics,” said Thomas Scheibel, CEO at Heliot. “This combined network from the Adriatic to the North Sea reflects our clients expectations and plays well to our operational strengths. We are looking to further accelerate and foster the adoption of IoT at the heart of European industry. This is made possible with the successful and entrepreneurial team already fully integrated into the Sigfox ecosystem as well