DMTI Spatial Inc., a Canadian provider of location-based data solutions, has announced Neopost, a European mailroom equipment provider, has acquired it for an undisclosed sum.
In an announcement on Thursday, DMTI Spatial said it’d be joining Neopost’s data quality business unit, assisting with the company’s customer and address solutions by providing geo-spatial data. Neopost is looking to ramp up its services in customer communications management and data quality and shipping solutions.
“The DMTI team is thrilled to be joining Neopost. This acquisition will benefit DMTI and most importantly, our customers,” said John Fisher, CEO of DMTI Spatial, in a statement.
“Being part of Neopost’s large, multinational organization will provide DMTI with the necessary investment and resources to enhance our rich, location-based solutions for our customers and partners and extend them to new markets and new geographies.”
By becoming part of Neopost, DMTI will also be gaining the advantages of Neopost’s clout, as the company has a direct presence in 30 countries, with 6,000 employees and generating sales of about $1.5 billion last year. Its products are sold in about 90 countries.
DMTI, which is based in Markham, Ont., has been providing digital mapping data, location-based data, geographic information system (GIS) data, and geocoding services for more than 20 years. In 2006, it worked on a large-scale project with hardware retailer Home Depot Canada, helping the company figure how much to charge customers for shipping based on customers’ postal codes. It’s also provided data to Google Inc. and MapQuest, as well as emergency services and law enforcement agencies.
“Neopost will invest into further growth and expansion of [DMTI’s] core (GIS) and software as a service offerings, which we see as a perfect complement to our existing and future address, customer and master data management-related solutions,” said Enno Ebels, executive vice-president of customer information management for the data quality solutions unit of Neopost, in a statement.
Using data in business has become a bigger market over the past few years, with Gartner Inc. estimating the data integration tool market was worth a little over $2 billion at the end of last year, a jump of 7.4 per cent from 2011. It said the market could increase to about $3.2 billion by 2017.