HMS Networks and Red Lion Controls join forces

HMS Networks and Red Lion Controls join forces for stronger product offering within industrial information and communications technology

HMS Networks has completed the acquisition of Red Lion Controls from Spectris Group Holdings Limited. The two companies are now one entity and can begin collaborating on common go-to-market strategies and product offerings.

ae acquisition, first announced on Dec. 11, 2023, has now been approved. This means that HMS Networks now has 1,200 employees in 18 countries. Most employees are stationed in the U.S., Sweden and Germany.

What to Expect.

For customers of HMS and Red Lion, nothing will change initially. The company names of HMS and Red Lion will remain unchanged and the product brands will be marketed and sold through the same channels as before. Production and shipping will be handled by HMS and Red Lion, respectively. Contact information and e-mail addresses will remain the same, with the exception of India, where Red Lion employees will have an hms-networks.com address.

Synergy on the horizon

Going forward, the merger of the two companies will generate a lot of synergy, especially as it expands the U.S. market for HMS and the European market for Red Lion. Most of Red Lion's sales come from North America, through a well-developed distributor network that HMS can now use to drive sales of the company's gateway and remote access offerings. With approximately 60 percent of sales in Europe's major automation markets and well-developed and targeted market channels, HMS is now able to cross-sell selected components of the Red Lion offering in Europe.

"We are pleased to welcome all of Red Lion's new employees and valued customers to the HMS Networks family, marking an exciting new chapter in our journey. As we begin the integration process together, we look forward to leveraging our combined strengths, shared values and dedication to delivering exceptional value for our customers. In the coming quarters, we will focus on seamless integration and actively pursuing synergies between our businesses. Together, we look forward to strengthening our position in the North American market," said Staffan Dahlström, president and CEO of HMS.

More information will follow as integration progresses.
www.hms-networks.com