FLIR Systems Inc said Friday it had entered into an agreement with the Administrator of Raymarine plc to acquire all of the outstanding shares of its wholly owned subsidiary, Raymarine Holdings Ltd. The transaction was valued at US$180m, including repayment of all Raymarine’s debt and about US$24m in proceeds to Raymarine plc. That is the equivalent of 20 pence per ordinary share. Raymarine had sales of US$170m in 2009.
FLIR President and CEO Earl Lewis called it a “strategically compelling” transaction. “Raymarine is a leading brand in the industry and has an outstanding reputation for high quality marine electronics equipment,” said Lewis in a statement. “When fully integrated, we expect to have a significant marine electronics business as part of our Commercial Systems business.”
Lewis said the acquisition will increase its distribution network with the addition of Raymarine’s 1000 dealer outlets and 400 marine OEMs. FLIR intends to integrate its thermal imaging products with Raymarine’s marine electronics technology.
FLIR designs and manufactures thermal imaging and stabilized camera systems for different industries and applications. FLIR expects the transaction to be neutral to 2010 earnings.
According to its website, FLIR had US$1.15bn in sales in 2009, and has 1,900 employees worldwide. It says it conducts business in more than 100 countries.