Electronics Production |
Vishay and SI Tech to merge
Vishay Intertechnology, Inc. and SI Technologies, Inc. have signed a definitive merger agreement pursuant to which Vishay will acquire all of the outstanding capital stock of SI Technologies in a merger transaction for $4.00 per share in cash for a total purchase price, including the net settlement of options and warrants, of approximately $17.65 million.
Vishay will also cause the outstanding bank debt of SI, currently in the amount of approximately $10.5 million, to be repaid at closing. For the fiscal year ended July 31, 2004, SI reported $36.2 million of net sales.
SI Technologies will hold a special meeting of its stockholders for the purpose of voting on the merger agreement. Completion of the merger is subject to certain closing conditions, including the approval of the stockholders of SI Technologies. Stockholders owning approximately 40.7% of the outstanding common stock of SI Technologies have agreed to vote in favor of the merger. The parties currently anticipate that the merger will be completed in the first calendar quarter of 2005.
Dr. Zandman, Chairman and Chief Executive Officer of Vishay stated, "Our acquisition of SI Technologies is another step in Vishay's strategy to broaden the product offerings of the Vishay Measurements Group. This transaction will further reinforce our position in the transducer, instrumentation and systems markets and will complement and enhance our existing capabilities in these areas. As we have consolidated our past acquisitions of manufacturers in the load cell business, we intend to add SI Technologies with the established brand name 'Revere' to our portfolio. Vishay's acquisition of SI Technologies will provide significant opportunities for synergies in R&D, manufacturing, and marketing and sales. Our intention is to continue to penetrate this market through further acquisitions and organic growth."
