As we had reported a little over a year ago, Qualcomm [NASDAQ:QCOM] was in talks to sell their OmniTracs business division, which was originally the company’s first reason for existence and the reason why Qualcomm’s own CDMA technology eventually was developed. 

A little over a year ago, we talked about how Qualcomm’s current business units simply don’t lend to keeping the trucking business as a part of the company’s portfolio. While the division itself is still quite profitable, it does distract the company from focusing resources on higher growth industries where the company has better opportunities for rapid growth. Since they’ve pretty much filled their niche within the trucking logistics business, it seems fair for the company to sell off the division to someone who can give it more attention. When you look at Qualcomm’s overall revenues and net incomes, OmniTracs is a tiny fraction of their overall revenues and profits which are primarily from licensing IP and selling applications processors and modems.

I have a feeling that our incredibly early stage article that we wrote last year may have in fact delayed the transaction from actually happening and as a result pushed the deal’s announcement a full year. However, this deal isn’t completely done yet as Qualcomm’s deal still needs to overcome some regulatory hurdles as well. The closing of the transaction is conditioned upon, among other things, clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and other customary closing conditions. The acquisition is expected to be completed during the first quarter of Qualcomm’s fiscal 2014.

Vista Equity Partners is offering to pay $800 million for Qualcomm’s OmniTracs business, which seems pretty fair considering that this business was able to pull in over $400 million in revenue per year. The interesting part is that OmniTracs used to be part of Qualcomm’s QES division, which has since been renamed to Omnitracs, Inc. So, essentially, nothing has changed except for a few divisions have been shuffled around and made OmniTracs a more independent subsidiary and easier to sell off.

Either way, our opinions of the deal haven’t necessarily changed and the company has finally validated our original rumor that they were selling off what was then known as QES and now known as OmniTracs, Inc. The company’s shares were up $0.14 (0.19%) in pre-market trading and an additional $0.56 (0.84%) in opening trading. This indicates that investors are pleased with Qualcomm’s decision and the price that the division is going for.