Rekor Systems completes acquisition of All Traffic Data Services

Rekor Systems has completed the acquisition of All Traffic Data Service, further solidifying its expertise in transportation data collection and analytics. ATD collaborates closely with numerous traffic engineering firms, metropolitan planning organizations, municipalities, and state Departments of Transportation, where Rekor currently lacks a sales presence. They are actively involved in data collection across a wide-ranging geographic area, encompassing states like California, Colorado, Arizona, Nebraska, Nevada, Oregon, and Washington. This addition expands the coverage of Rekor’s urban mobility operations across the country’s western region. Further, it strengthens its position in the Southeast, providing ready access to experienced urban mobility personnel and operational facilities to support the expansion of its IoT network. This acquisition follows Rekor’s 2022 acquisition of Southern Traffic Services, demonstrating the Company’s commitment to shaping the future of urban mobility. The new addition will combine two complementary data collection companies under the Rekor banner. This is anticipated to accelerate Rekor’s business plan and path to profitability going forward. It combines over 30 years of traffic engineering and data collection expertise with Rekor’s next-generation artificial intelligence and machine learning technologies. The combination of local presence, experienced resources, and new technology uniquely positions the Company to become the leading provider of artificial intelligence and machine learning-driven solutions for traffic management, urban mobility, and public safety for departments of transportation in the United States. In conjunction with this transaction, Drew Meyers, a Partner at Seaport Capital, has been appointed to the Rekor Board of Directors. The acquisition is valued at $19 million through a combination of cash and stock. ATD will operate as a business unit within Rekor, leveraging its existing team of approximately 41 employees across offices in 14 states. For fiscal year 2023, ATD is expected to generate approximately $9.5 million in revenue and an estimated $3 million in EBITDA.