Wireless communications developer, Westel Group Limited, will acquire the terminals business of manufacturer, Opentec Pty Ltd, in a bid for more deals in the public safety market.
Westel builds and sells wireless networks and digital base stations to overseas markets. It will target Opentec's rugged computers business at the US military market.
"With this acquisition, Westel will be able to deliver military tested quality terminal solutions to its public safety clients," Westel CEO, Rodger Johnston, said.
"Police, for example, are looking for identity mapping and location information in real-time, and terminal requirements are becoming increasingly sophisticated."
On the home front, Westel will gain access to Opentec's local customers, including the Department of Defence.
Westel recently gained approval to sell its base stations in Australia, and would focus on the police, ambulance and fire brigade services for uptake, Johnston said.
Westel will acquire Opentec's net assets of less than $500,000.
Opentec's terminals business had a turnover of more than $6million in the last financial year.
Fourteen Opentec management and employees will join Westel's staff of 12.
Both companies are Sydney-based.
The acquisition follows a major restructure of the Westel board last year and new US distributors.
The deal takes effect from May 1.