Navigation device maker Garmin plans to make a $3.32 billion bid for digital map maker Tele Atlas in a move to outbid a $2.89 billion offer from rival TomTom. The latest offer is expected to kick-off a bidding war for the acquisition target as the location-based services industry continues to consolidate following Nokia's recent takeover of Navteq for about $8.1 billion. Tele Atlas competes with Navteq in the digital map-making business, while TomTom leads the portable navigation devices market with Garmin on its heels. The TomTom bid came in July, and Tele Atlas indicated a will to accept unless some higher bid comes along. And it did.
For more on the potential bidding war:
- read this article from the WSJ (sub. req.)