Conduent sells its tolling business to Quarterhill for $70Mn
NEW JERSEY, UNITED STATES — Conduent has agreed to sell its Tolling business to Quarterhill, an intelligent transportation systems provider, for $70 million in cash — its second major divestiture of 2026.
According to a company press release, Conduent will also receive a 7% equity interest in Quarterhill with board observer rights, while Quarterhill assumes most liabilities including all surety bond obligations.
The transaction was announced June 30, 2026, and is expected to close before the end of 2026. Conduent’s Tolling unit processes more than 14 million transactions daily across the US and UK, providing all-electronic tolling, back-office processing, image review, violation enforcement, and analytics.
Two 2026 divestitures sharpen Conduent’s core BPO focus
The Tolling sale follows Conduent’s $164 million Public Transit divestiture to Modaxo in May — Conduent’s second major transportation exit in 2026.
The combined $234 million from both divestitures gives Conduent capital to reinvest in its government and commercial BPO core while reducing broader balance sheet pressure. Two transportation exits worth $234 million in six months mark Conduent’s most decisive portfolio cleanup to date.
“This Tolling transaction, alongside the previously announced Public Transit agreement, advances our strategy to simplify our portfolio, sharpen focus on our core businesses, and strengthen our financial foundation,” said Harsha V. Agadi, President and CEO of Conduent.
Conduent’s tolling unit anchors Quarterhill’s ITS platform build
Quarterhill is a global intelligent transportation systems platform listed on the Toronto Stock Exchange — with subsidiaries processing billions of transactions annually and inspecting millions of commercial vehicles.
Conduent Tolling’s 14 million daily transactions and US-UK footprint give Quarterhill direct access to two of the largest electronically tolled road networks in the English-speaking market. Conduent’s 7% equity retention keeps it exposed to the ITS platform’s upside — blurring the line between divestiture and partnership.
“This acquisition materially advances our strategy to build a larger, more focused and more profitable ITS platform,” said Chuck Myers, CEO of Quarterhill.
Conduent has been simplifying its portfolio since its 2017 Xerox spinoff, shedding assets outside its core government services and commercial BPO operations to stabilize margins and strengthen its balance sheet.
Quarterhill competes in the ITS market against Kapsch TrafficCom and TransCore — with the Conduent tolling acquisition giving it one of the largest daily transaction volumes in North American and UK tolling.
Conduent’s exit from tolling signals a broader BPO industry retreat from infrastructure-intensive technology verticals — domains where 40-plus years of sector-specific expertise, as Quarterhill demonstrates, outperforms horizontal operational breadth.
