Progressive Digital Media Group PLC (AIM:PRO) acquired Current Analysis, Inc., a company which provides market intelligence and advice for telecommunications, information technology (IT), and consumer electronics industries in the United States and internationally.
Top Image Systems Ltd. (NasdaqCM:TISA) acquired eGistics, Inc., a company which provides hosted document storage and management solutions for financial services and healthcare organizations in the United States.
Oerlikon
OEM Capital assisted Halma PLC in its acquisition of Oerlikon Optics. This is the third acquisition in the optical and photonics industries that we have helped Halma complete. Previously, we assisted in its acquisitions of Ocean Optics and Labsphere.
As a result of our involvement, Halma was able to conclude transactions where there is strong synergy with existing operations and where acquisitions are expected to be accretive to earnings.
Our success with Halma illustrates that superior results can be realized by a well-executed approach by merger and acquisition professionals who are knowledgeable about the industry and the goals of both industry buyers and sellers, with expertise in successfully completing cross-border transactions.
Oerlikon Optics, located in Golden, Colorado is a supplier of optical components and subassemblies. Its ultimate parent company, OC Oerlikon Corporation AG, is a Swiss public company which develops and supplies production systems, components, and services for information technology and industrial markets worldwide, with annual revenues in excess of US$5.3 billion.
Labsphere is based in North Sutton, New Hampshire and is a world leader in the design and manufacture of innovative light testing and measurement products and specialized optical coatings.
Ocean Optics, Inc. is headquartered in Dunedin, Florida and engages in the design, manufacture, and supply of optical sensing and spectroscopy products. It is a wholly owned subsidiary of Halma plc, a London Stock Exchange listed company, with annual revenues of over US$650 million.
OEM Capital (www.oemcapital.com) is a FINRA registered technology investment banking firm. The firm provides corporate financial advisory services to public and private companies, including strategic advisory, mergers and acquisitions, private placements of debt and equity, PIPEs, recapitalizations and restructurings, and fairness opinions.
Piezoelectric Products East
Piezo East, based in Metuchen , New Jersey , a division of Gulton Industries, Inc., a NYSE listed company, is a developer and manufacturer of piezoelectric ceramics and thermistors. Its systems are primarily used in sensing and alarm applications that include medical and automotive sensors and home intrusion detection and smoke alarms.
Piezo Electric Products, Inc., a publicly traded company based in Cambridge , Massachusetts , provides solutions for electronics heat transfer and a wide range of applications requiring solid state sensor/actuator devices.
OEM Capital was engaged to assist Gulton Industries, Inc. in finding a buyer for its Piezo East business. The business no longer fit with the parent’s strategic objective to move away from an electronics component oriented business. With our advice, the division brought its expenses in line with revenues and we initiated a competitive sale process.
OEM Capital’s presentation of the company’s value and our knowledge of the industry secured several interested parties. When we were approached by a customer that had recently gone public and wished to secure a manufacturing facility, we devised a due diligence program which did not disclose proprietary information prior to closing. Gulton Industries, Inc. received a premium price for its business and was relieved of all labor contract liabilities to its unionized employees.
Our success with Gulton Industries, Inc. illustrates that, whether a business is healthy or distressed, superior valuations can be realized for the selling shareholders by a well executed approach to a sale or divestiture by merger and acquisition professionals who are knowledgeable about the industry and the intentions of its participants.
Porta Systems’ Connection and Protection Product Line
OEM Capital assisted Tii Network Technologies, Inc. in its acquisition of Porta Systems’ Connection and Protection Product Line.
As a result of our involvement, Tii was able to acquire a product line that will add approximately $25 million to the Company’s annual revenues, almost doubling its size. The acquisition also expands the product offerings in multiple sectors and provides cross-selling opportunities with both new and existing customers.
Porta Systems Corporation is a publicly-traded company that designs, manufactures, and markets equipment for use in the telecommunications industry.
Tii Network Technologies, Inc. is a publicly-traded company that designs, manufactures, and markets products for the communications and cable television industries. The Company sells its products to original equipment manufacturers, communications service operators, and publicly-licensed operating companies.
OEM Capital is a specialty investment banking firm offering corporate finance advisory services to both public and private electronics, communications, software, and information technology companies. Services offered include strategic advisory, mergers and acquisitions advisory, private placements of debt and equity, PIPEs, recapitalizations and restructurings, and financial opinions.
OEM Capital‘s professionals have extensive experience in the industries they cover, and as a founding member of the Alliance of International Corporate Advisors (AICA), OEM Capital can provide our clients with access to transactions on a global scale, in every major technology market in the world.
Private Gaming and Entertainment Software Company
OEM Capital sourced the investor, and advised the Company, a privately-owned gaming and entertainment software provider, on the private placement of an equity investment by a European Investment Group.
As a result of our involvement, the Company was able to close a transaction that provided the necessary capital to proceed with the next phase of their product development process, and do so on favorable terms to the existing shareholders.
OEM Capital is a specialty investment banking firm offering corporate finance advisory services to both public and private electronics, communications, software, and information technology companies. Services offered include strategic advisory, mergers and acquisitions advisory, private placements of debt and equity, PIPEs, recapitalizations and restructurings, and financial opinions.
OEM Capital‘s professionals have extensive experience in the industries they cover, and as a founding member of the Alliance of International Corporate Advisors (AICA), OEM Capital can provide our clients with access to transactions on a global scale, in every major technology market in the world.
Rathbone
Rathbone Precision Metals, Inc., a privately held company located in Palmer, Massachusetts is a custom manufacturer of precision metal parts used in a variety of industrial applications including computer hard disk drives and power generating turbines. Its products are sold largely to original equipment manufacturers throughout the US .
Carpenter Technology Corporation, a NYSE listed company is a leading manufacturer of stainless steel, titanium and other specialty metals, and various engineered products with sales of approximately US$865 million.
OEM Capital was asked to assist Rathbone Precision Metals, Inc in finding a purchaser for its business. Its controlling shareholder had reached retirement age and wished to substantially reduce his time spent in managing the business, liquidate his holdings and provide for his estate.
OEM Capital developed a marketing program which exploited our industry contacts as well as our contacts with individuals and buyout firms whose interests were known to us. Our presentation of the company’s value to both strategic and financially oriented acquirers secured multiple bidders. The sale took place approximately six months from the onset of our engagement.
Our success with Rathbone Precision Metals, Inc illustrates that , whether a business is healthy, under performing or distressed, superior valuations can be realized for the selling shareholders by a well-executed approach to a sale or divestiture by merger and acquisition professionals who are knowledgeable about the industry and the intentions of its participants.
ROIS, Inc.
ROIS, Inc., a seven year old, privately held marketing services provider creates solutions to increase purchases of highly profitable add-on services for retailers. Its services include campaign creation, materials sourcing, package design, product delivery, transactional support, web enabled post-transaction customer service and reconciliation. Every program is custom tailored to meet the needs of each customer and type of retail transaction targeted.
RE Investments, L.P., a private equity firm based in the Southwestern US specializes in middle market acquisitions and investments. The firm typically invests in US companies engaged in the service, distribution, manufacturing, staffing, financial, and consumer product sectors.
C.V. Lemmon & Co. Inc., a member of the International Mergers and Acquisition Partners (IMAP) partnered with OEM Capital to assist ROIS in managing the sale of its business. The shareholders required a purchaser with the financial resources to make the acquisition and still support an aggressive expansion program to pre-empt competitive inroads. Key to a successful outcome was finding a buyer willing to structure a transaction that allowed the sellers maximum value and to rollover part of the sale proceeds with an equity ownership in the new entity.
OEM Capital and C.V. Lemmon & Co. Inc. worked closely with management to prepare marketing materials while developing a program that maintained strict confidentiality of even the identity of the client while eliciting interest from both strategic and financial buyers. Using industry and financial contacts and our network of international affiliates, our marketing program developed a number of interested parties. Each potential suitor was reviewed with the seller and several were selected to meet with management for a detailed business presentation.
Our program secured multiple bids from highly regarded, financially solid firms. The seller accepted and closed on an offer with an approximate enterprise value of US$40 million, or approximately two times trailing twelve months revenue. This amount was over twice the price the seller had been willing to accept several months earlier from a buyer who approached it prior to our engagement, but could not secure financing to close the transaction.
Our success with ROIS illustrates the superior results that can be realized with a well-executed process undertaken by experienced merger and acquisition professionals knowledgeable about the industry and the intentions of its participants.
UltraVolt, Inc.
UltraVolt, Inc. located in Ronkonkoma New York was founded in 1990 to take advantage of over 35 years of experience in high-voltage power supply design and manufacturing. UltraVolt manufactures and distributes a standard line of high-voltage power supplies used in many complex products, including medical equipment, laboratory diagnostic equipment, aerospace and industrial equipment and semiconductor fabrication and test equipment.
Riverside is one of the leading private equity firms investing in premier companies at the smaller end of the middle market, focusing on industry-leading companies valued at $10 million to $150 million. Riverside has offices in New York, Cleveland, Dallas, San Francisco, Atlanta, Chicago and Los Angeles.
OEM Capital is a merger and acquisition advisory firm with its primary focus on electronics, communications, software and information technology companies. Its professionals have extensive experience in the industries that they cover. As a member firm in the International Network of M&A Partners, (IMAP), OEM Capital is able to expose its clients to potential acquirers in every major technology market in the world. IMAP is the oldest and largest network of independent M&A advisory firms with over 60 members located throughout the world. A key factor in maximizing the price to the seller was the active participation of IMAP member firms around the world, many of whom actively participated in identifying and contacting strategic and financial buyers from as far away as Japan, Finland and Germany.
OEM Capital’s success with sell-side clients illustrates that superior valuations can be realized for the selling shareholders by a well executed approach to a sale or divestiture by merger and acquisition professionals who are knowledgeable about the industry and the intentions of its participants.
Roxboro Group PLC
Roxboro Group PLC (now known as Dialight PLC) acquired the business of Norwich Aero Products Inc. (Norwich) from a group of private investors and management. Nowich was integrated into Roxboro’s Weston Aerospace operation located in Hampshire, United Kingdom.
Both Norwich and Weston manufacture temperature sensors used primarily in aerospace applications as well as environmentally demanding industrial applications. Key customers of Norwich included Pratt & Whitney and GE Aero Engines, while Weston served IAE and Rolls Royce in Europe. The merger was immediately synergistic, allowing Norwich to sell qualified components and replacement parts to US Customers, while Weston picked up the European spares and service business for Norwich.
Roxboro integrated the two companies and increased sales over 200%, four years after completing the acquisition Roxboro sold its Weston aerospace sensors division to Esterline Technologies for £55 million.
OEM Capital is a merger and acquisition advisory firm with its primary focus on electronics, communications, software and information technology companies. Its professionals have extensive experience in the industries that they cover.
OEM Capital can also assist companies in achieving their strategic plans for growth by arranging for growth capital or acquisition financing.
OEM Capital’s success with buy-side clients illustrates that strategic acquisitions can work to create shareholder value and enhance long-term financial performance. We work as an extension of our client’s corporate development team, and can often add-value by convincing the “not for sale” acquisition target that a strategic sale to a synergistic partner is in the best interests of all shareholders and managers.
