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Standex International Corporation announced that it has acquired privately-held, Colorado-based Sensor Solutions for approximately $9.7 million in cash. The transaction is being financed from Standex's existing cash balance. The Company expects the acquisition to be slightly accretive to its earnings in its first year of ownership as well as additive to consolidated free cash flow.
"We are very pleased to have acquired Sensor Solutions, a great strategic fit which further expands our technical and applications expertise and range of customer solutions in high value, growing sectors such as electric vehicles, industrial automation and medical end markets. Sensor Solutions programmable magnetic Hall and specialty sensors include customized, flexible sensor design solutions that meet the growing market demand for the manufacture of smart technologies," commented President and Chief Executive Officer David Dunbar.
Sensor Solutions designs and manufactures customized as well as standard Hall effect and magnetic sensor products including Hall switch and latching sensors, linear and rotary sensors and specialty sensors. These products serve automotive, industrial, medical, aerospace, military and consumer electronics end markets. Sensor Solutions trailing twelve-month revenues were approximately $4.3 million.
Commenting on the transaction, Dave Lorenzen, President of Sensor Solutions, stated, "We are excited to join a global leader that provides a very strong foundation for our continued growth. Standex's ownership offers us the opportunity to leverage a much larger geographical presence, substantial engineering capabilities and complementary product offerings.
"With today's announcement we continue to add to our Electronics segment's breadth of expertise and product portfolio, further strengthening our base of innovative solutions and strong customer value propositions. We look forward to welcoming the entire Sensor Solutions team to our company," concluded Dunbar.