TXT e-solutions S.p.A. (TXT), listed on the STAR segment of the Mercato Telematico Azionario managed by Borsa Italiana, has completed the acquisition of the SmartRoutes® division (SR division) from Nexteon Technologies, Inc. The transaction follows the signing announced on December 23, 2025, and was executed by PACE America, TXT Group’s US subsidiary, upon satisfaction of the conditions set out in the Asset Purchase Agreement.
The SR division specialises in advanced, real-time en-route flight optimisation technology. Its solution dynamically enhances aircraft routing during flight through high-fidelity trajectory modelling, operational constraint management and the use of real-time data inputs. This capability enables airlines to reduce fuel burn, lower emissions and decrease operating costs, while simultaneously improving overall operational efficiency.
SmartRoutes technology is already embedded within PACE’s Flight Profile Optimisation (FPO) platform and marketed in the United States under the FPO-SR branding. The acquisition enables TXT to assume full ownership of the technology’s assets and development roadmap, integrating it more deeply into the Group’s Smart Solutions portfolio and strengthening its proprietary offering in the aviation optimisation segment.
The closing represents the third major milestone for PACE and TXT in the first quarter of 2026, following the award of two significant contracts with airlines ranked among the top five in the US market. These agreements are expected to generate combined recurring revenues in excess of US$10 million per annum at full run rate from 2027 onwards.
For the first airline, full operational deployment of the integrated FPO-SR solution is scheduled for the second quarter of 2026, with material recurring revenues anticipated in the second half of the year. For the second carrier, PACE will deliver a paid implementation project throughout 2026, covering deployment and configuration, with validation activities in the latter half of the year and full entry into service targeted for the fourth quarter.
In both programmes, the solution will enable real-time collaboration between pilots and ground-based operational teams, supporting trajectory optimisation through aircraft IP connectivity and reinforcing PACE’s vision of a fully collaborative operational ecosystem.
In 2025, the SR division generated approximately US$2.0 million in annual recurring revenue, with an adjusted EBITDA margin approaching 35%. Following full integration and the contribution of recently secured customer contracts, recurring subscription revenues from the combined FPO-SR offering are projected to reach up to US$20 million by 2027, implying an annual recurring revenue CAGR of approximately 40%. The upfront consideration at closing amounted to approximately US$5 million, excluding earn-out payments linked to new ARR targets expected in 2027.
