PLANit

September 10, 2019

  • Headquarters: Västra Frölunda, Sweden
  • Acquisition Date: March 2014
  • Vertical Market: People Transportation
  • www.planit.se

Background

Founded in 1996 by Stig Palm and Hans Andersson, PLANit Sweden AB (PLANit) is a Swedish company providing software, systems, and technology to efficiently manage resources in demand-response passenger traffic (DRT) and taxi systems. PLANit is comprised of two subsidiaries – Holmedal Data AB and Malmator AB – and is the leading software provider for demand-responsive passenger traffic and taxi systems in the Scandinavian market. Among PLANit’s customers are regional transport authorities, taxi companies, local authorities, and county councils – primarily located in Scandinavia.

Challenges

Starting in 2000, Volaris had approached PLANit about an acquisition but the owners weren’t ready to sell. Since that time, Stig Palm and Hans Andersson realized that they needed to invest in PLANit’s software and bring it to today’s standards. But as it was rather costly to do so, it became a drain on PLANit’s resources and affected their bottom line.

They both wanted to ensure that we would keep the business going and not dissolve it for the Trapeze operations that also existed in the territory.

— Rick Bacchus, Executive Vice President, Core Operations, Volaris Group

The Decision to Sell

By 2013, the two founders were beginning to plan for their retirement and wanted to see their business put in the best position for continuity of success. They felt that Volaris was the right acquirer for them and PLANit joined Trapeze, TripSpark Technologies, and Simpli Transport in Volaris’ people transportation vertical. From a product and sales perspective, PLANit is fully integrated within Trapeze, but still retains its brand and customers. Trapeze and PLANit were able to gain synergies with each other as Trapeze has software and technology that works with the Scandinavian market that PLANit could utilize.

There were three reasons that Stig Palm and Hans Andersson chose to sell PLANit to Volaris. Firstly, they needed an acquirer with the strategic expertise to navigate the final stages of the re-write that PLANit was undertaking. Volaris provided the best practices to help PLANit through that process. Secondly, since Palm and Andersson were retiring, they wanted a safe and permanent home for their business. Volaris’ buy and hold forever approach was the perfect fit. Finally, Palm and Andersson wanted an acquirer that would provide synergies to better service the market. Together with Trapeze’s offerings, the owners could see the synergies between the two companies that would provide the best products and services to their customers for the long term.

The business has been put in a position for the best chances of success with the newly implemented structure.

— Rick Bacchus, Executive Vice President, Core Operations, Volaris Group

Post-Acquisition Success

PLANit has successfully completed the re-write of their technology and have been able to gain new customers as a result. As well, due to their integration within Trapeze, PLANit has been become more efficient and has increased their product offering to customers. Their profits have greatly improved and PLANit has been able to expand their presence throughout the Scandinavian market.

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