Astronics Corporation (NASDAQ:ATRO), a provider of advanced technologies for the global aerospace and defense industries, has announced that it has entered into a definitive agreement to acquire substantially all of the assets of Telefonix Inc. and a related company, Product Development Technologies, LLC, (together as “Telefonix”) for approximately USD 104 million in cash, funded with Astronics´ senior revolving credit facility, the company said.
The acquisition is expected to close by year end, and is subject to typical closing conditions, including a review under the Hart-Scott-Rodino Antitrust Improvements Act.
Telefonix PDT, located in Waukegan and Lake Zurich, Illinois, designs and manufactures advanced in-flight entertainment and connectivity equipment, as well as providing industry design consultancy services for the global aerospace industry. The company´s products include wireless access points, file servers, content loaders, passenger control units and cord reels, as well as engineering services for its customers.
Telefonix has forecasted 2017 annual sales of approximately USD 60 million to USD 70 million. Its historical adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) margins have been consistent with Astronics´ aerospace segment´s past performance. The acquisition is expected to be accretive to earnings in 2018. Its impact on 2017 earnings will depend on the closing date and one-time acquisition related charges, but is expected to be nominal.
Astronics Corporation (NASDAQ:ATRO) is a supplier of advanced technologies and products to the global aerospace, defense, and semiconductor industries. Astronics´ products and services include advanced, high-performance electrical power generation and distribution systems, seat motion solutions, lighting and safety systems, avionics products, aircraft structures, systems certification, and automated test systems. For more information on Astronics and its products, visit Astronics.com.