Acquisition

Telit Communications Plc

("Telit" or the "Company")

Acquisition

Acquisition of ILS Technology LLC ("ILST") expands Telit's m2mAIR services division

Into cloud platform backend services

September 4, 2013 - Telit Wireless Solutions Inc., a fully owned subsidiary of Telit Communications Plc, has entered into an agreement to purchase US-based (Boca Raton, FL) ILS Technology LLC, a leading provider of a ready-to-use, off-the-shelf, cloud platform to connect enterprise IT systems to m2m-connected devices and machines for business-critical use. ILST's solutions are easy to deploy, reaching any m2m device and connected asset without the need for complex programming or development. Critical to business services, ILST delivers secure remote access, monitoring and enterprise application integration which provides customers a faster time to deployment and business value realization through low cost PaaS (Platform as a Service) and SaaS (Software as a Service) business models. Employing best in class security practices and standards, customers can easily maintain critical data management and ownership as well as regulatory compliance.

The acquisition's consideration is US$8.5 million in cash to be funded from Telit's financial resources. The acquisition of ILST including over 40 engineering, sales and support staff, to be consolidated with Telit's m2mAir services unit, will expand Telit's successful market approach while continuing to leverage ILST's broader offering in value added services. Telit created the m2mAIR business unit in 2012 to expand its offering to value added services including connectivity.

Oozi Cats, Chief Executive of Telit, said "the acquisition provides Telit with access to additional value added services and customers, providing Telit with an even broader footprint in the m2m value chain. It opens new opportunities to expand our services offering to small & medium m2m customers worldwide, widening our market advantage and will support Telit's recurring revenue strategy. We see tremendous synergies between our wireless modules and connectivity offerings and the ILST portfolio; we welcome the opportunity that this acquisition provides us to further strengthen and solidify our presence in the m2m market."

"We are excited about the prospect of working with the Telit team to continue providing premier services to our customers and to expand our sales and customer base," said Fred Yentz, President and CEO of ILST, who stays on to manage the consolidated business unit under Telit ownership. "We look forward to the continued growth of ILST under Telit's leadership."

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Notes to readers

Telit is a global leader in the development and manufacture of wireless machine-to-machine ("m2m") communication modules for a variety of applications. Through its 30 sales offices and 59 distribution channels, Telit covers more than 80 countries supporting about 5,000 customers.

Telit is the third largest supplier of m2m modules in the world with a market share of approximately 22% and one of the few companies in the industry with full control over the underlying technologies in its products. It boasts strong in-house technology and research and development expertise.

Telit is listed on AIM (Ticker: TCM) and is an enabler of machine-to-machine (M2M) communications worldwide providing wireless module technology enhanced by managed and value added services, including connectivity. Exclusively dedicated to M2M for over 12 years and constantly advancing technological leadership from six R&D centers around the globe, Telit offers an extensive portfolio of quality cellular, short-range, and GNSS modules, available in over 80 countries. By supplying business scalable products interchangeable across families, technologies, and generations, Telit is able to keep development costs low and uniquely protect customers' design investments. More information on Telit can be found on its website: www.telit.com

Value added services from Telit's m2mAÍR unit combine solutions for module, SIM, and subscription management with M2M connectivity, delivering business value through enhanced network performance, cost control, security, and troubleshooting. Addressing the critical element of cost-control in m2m integrations, m2mAÍR offers an innovative business approach which transforms cost of connectivity into a bill-of-material (BOM) component. Further information on these services can be found at www.m2mAIR.com