T2 Systems offers solutions for curbside management, contactless transactions, mobile payments, and transportation demand management
Verra Mobility, a smart mobility technology solutions provider, has agreed to acquire T2 Systems, a provider of parking management solutions in North America, from Thoma Bravo for $356m in an all-cash deal.
The consideration also includes $9m for impending asset acquisition taken up by a fully-owned indirect subsidiary of T2 Systems.
Based in Indianapolis, the parking solutions provider has revenue of around $80m in 2021. The company was acquired by Thoma Bravo in 2016 from Pamlico Capital for an undisclosed price.
Its integrated suite of parking management software and hardware solutions are said to be used by municipalities, universities, parking operators, transportation hubs, and healthcare facilities.
Verra Mobility intends to operate the company as a distinct business unit.
Verra Mobility president and CEO David Roberts said: “This acquisition complements our portfolio of urban mobility technology and allows us to continue growing revenue while diversifying our customer base. At just under 3.7x leverage at the end of Q3, this allows us to put our significant cash flow back to work for investors.
“With the rapid growth of ride-sharing and last-mile delivery, cities need innovative solutions to solve traffic issues and optimise curbside management. Verra Mobility’s photo enforcement solutions coupled with T2 Systems’ parking technology will put us in a strong position to help cities adapt to these emerging complexities.”
Established in 1994, T2 Systems is claimed to cater to over 1,900 customers with a variety of parking management solutions. These include solutions for curbside management, contactless transactions, mobile payments, as well as transportation demand management.
The firm provides a centralised, open platform that is said to span the entire parking and mobility ecosystem. Dubbed as T2 Link, the unified platform is designed to offer customers a central source to handle their entire parking operations, including third-party integrations.
T2 Systems CEO Adam Blake said: “The combination of our unified parking and mobility management platform and Verra Mobility’s expertise in intelligent transportation systems will help deliver a streamlined transportation experience.”
The deal is anticipated to close by the end of Q4 2021.