Serious Labs, the global leader in virtual reality equipment training simulators, and Serious Industrial Motion Simulators Inc., a private equity-backed entity headquartered in Edmonton, Alberta, Canada, announced it has completed a transaction to transfer the industrial VR simulator assets and business operations (the “Industrial Division”) from Serious Labs to SIMS. The Industrial Division acquired by SIMS includes all assets, employees, simulator hardware and SaaS recurring revenue related to Serious Labs’ award-winning MEWP VR simulator, among other VR products. The transfer of the Industrial Division will not include the assets associated with Serious Labs’ MELT VR commercial vehicle project.
“We at SIMS recognize the value of using simulators to safely, efficiently, and cost-effectively train a new generation of industrial equipment operators, particularly in high-risk activities like aircraft maintenance and industrial facilities maintenance,” said SIMS president and CEO Terry Allen.
Allen, who has a 35-year career as a serial entrepreneur in the information technology and automotive industry along with being an air transport-rated commercial pilot, said, “We are impressed with the technology and the Serious Labs team and are excited to engage with customers to re-enforce our commitment at SIMS to customer service and continuous innovation.”
Former Serious Labs CEO and SIMS executive chairman Jim Colvin added: “The aviation experience and focus that the SIMS executive team brings will pour jet fuel onto our existing customer base in the aviation Maintenance, Repair, Overhaul (MRO) sector that already includes major airlines and aerospace manufacturers.”
Former equipment rental industry senior executive Gregg Christensen, who joins the SIMS executive team as executive vice president business development said, “This world-leading VR technology has certainly found its place in aviation MRO and facilities maintenance sectors, where the cost of the equipment contacting its surroundings can be extremely high. Our goal is for VR simulation to become the norm in the equipment rental industry when it comes to efficiently and cost effectively training new operators, as well as assessing the current competency of existing operators. Understanding the capabilities of operators, particularly in these high risk/cost sectors, is critical and therefore a significant value-add to rental customers.”
“This transaction with SIMS will offer a renewed focus on continuous innovation and customer success for the Industrial Division, freeing up Serious Labs to concentrate on identifying strategic partners for its MELT VR commercial vehicle project,” added Lyle Edwards, chairman of Serious Labs.
The confidential transaction terms received unanimous approval from shareholders who attended the recent Serious Labs special meeting of the shareholders, as well as approval and consent from its secured lenders.