Intelex announces Definitive Agreement to be Acquired by Industrial Scientific

Acquisition Bridges the Last Mile to EHSQ 4.0 Through Convergence of Software with Cyber-Physical Assets & Connected Workers

TORONTO, June 6, 2019 /PRNewswire/ -- Intelex Technologies, a leading global provider of SaaS-based Environmental, Health, Safety and Quality (EHSQ) management software, announced today that it has entered into a definitive agreement to be acquired by Industrial Scientific, a global leader in connected sensing technology and safety-as-a-service and wholly owned subsidiary of Fortive Corporation (NYSE:FTV).  Intelex will be acquired from JMI Equity and HarbourVest for approximately $570M USD.

The acquisition brings together the strengths of industry-leading EHSQ technologies to deliver on the promise of connected environmental, health and safety, and quality with a future vision of eliminating worker deaths. In the Industry 4.0 era of digital transformation across all industries, EHSQ has been mostly a bystander in this seismic movement. While the focus of industrial internet of things (IIoT) has largely been driven by core business operations for asset reliability, production efficiency, and quality control, EHSQ stands to be a significant beneficiary. Until now, however, the IIoT data generated from people, sensor-based assets, wearables, and other connected devices has been siloed and largely disparate from EHSQ functions, making it a challenge to leverage as part of an EHSQ improvement program. The combined strengths of Intelex and Industrial Scientific solves that problem by bridging the last mile to create a real-time data flow between an organization's workforce, assets and EHSQ program management, thus creating a complete real-time digital nervous system for EHSQ.

"We are building the company that our customers need; one capable of improving safety and productivity in the field while also being the system of record for EHSQ data," said Justin McElhattan, president of Industrial Scientific. "We are excited by the opportunity to benefit from the expansion of our mutually connected capabilities into the global EHSQ software space and beyond."

Coming on the heels of other buyouts of EHSQ software vendors by large PE firms, the acquisition of Intelex by Industrial Scientific is the largest in the history of EHSQ pureplay vendors and one of the top five largest Canadian technology company exits in the last decade. Being acquired into the Fortive portfolio of companies with a market capitalization of $26B USD validates a strategic phase of evolution and growth in the EHSQ market and provides Intelex's customers access to a powerful industrial IIoT ecosystem.  According to industry researchers, the EHSQ software market today is only 25 – 30% penetrated. However, the long-term total growth potential for this market increases exponentially from full EHSQ digitization through IoT-enabled assets, wearables, and connected workforce. Through the added expertise and global networks of Industrial Scientific, as well as Fortive's well-known industrial technology brands that hold leading positions in their dedicated fields, Intelex and its customers will have the ability to accelerate automation of connected and intelligent EHSQ programs.