$17.1 Million Transaction Adds U.S.-based Engineering and Manufacturing Capacity
NEWS HIGHLIGHTS
Astro Machine adds a synergistic adjacency to the Product Identification portfolio, significant inkjet printing and material handling expertise, and new market channels
Transaction expected to be accretive to earnings in the current fiscal year
Astro Machine becomes a wholly owned subsidiary of AstroNova
AstroNova to host conference call at 3:00 p.m. ET today
WEST WARWICK, R.I., August 09, 2022–(BUSINESS WIRE)–AstroNova, Inc. (Nasdaq: ALOT) ("AstroNova" or the "Company"), a global leader in data visualization technologies, today announced the acquisition of Astro Machine, for an aggregate purchase price of $17.1 million in cash, from its founding family.
Astro Machine is a leading designer and manufacturer of professional color and monochrome inkjet printers as well as a wide range of media handling equipment for labeling and mailing applications. The acquisition includes Astro Machine’s 34,000-square-foot engineering and manufacturing plant in Elk Grove Village, Illinois.
"Astro Machine meets all the criteria of our acquisition strategy and adds an exciting adjacency to our Product Identification portfolio that we expect will further enhance our market leadership position," said Greg Woods, AstroNova President and CEO. "Astro Machine’s products and technologies are a great fit. We believe that this transaction brings synergistic product design and material handling expertise, expands our U.S.-based manufacturing capabilities, and adds complementary channels to market that will enhance our ability to scale the combined business and capitalize on cross-selling opportunities. George Selak, Astro Machine’s President, will continue to lead the business, and we are delighted to welcome him and the entire experienced Astro Machine team into the AstroNova family."
"Today’s announcement marks the start of an exciting new chapter in Astro Machine’s 44-year history," Selak said. "We are thrilled about joining AstroNova, whose industry knowledge, technologies, and global presence will enable us to play an even greater role in helping our customers grow their businesses."
The transaction was funded with borrowings from an amended version of the Company’s existing senior bank debt facilities. The acquisition is expected to be accretive to earnings in the current fiscal year.
The Current Report on Form 8-K disclosing this transaction was filed concurrently with the issuance of this news release.
Conference Call Information
AstroNova management will host a conference call for investors at 3:00 p.m. ET today to discuss the transaction. To participate in the conference call, please dial (888) 412-4134 (U.S. and Canada) or (646) 960-0141 (International) approximately 10 minutes prior to the start time and enter Conference ID 4329772.
A real-time and an archived audio webcast of the call will be available through the "Investors" section of the AstroNova website, https://investors.astronovainc.com. Presentation slides related to the Astro Machine acquisition will be accessible on the website ahead of the call.
About AstroNova
AstroNova (Nasdaq: ALOT), a global leader in data visualization technologies since 1969, designs, manufactures, distributes, and services a broad range of products that acquire, store, analyze, and present data in multiple formats. The Product Identification segment provides a wide array of digital, end-to-end product marking and identification solutions including hardware, software, and supplies for OEMs, commercial printers, and brand owners. The Test and Measurement segment provides products designed for airborne printing solutions, avionics, and data acquisition. Our aerospace products include flight deck printing solutions, networking hardware, and specialized aerospace-grade supplies. Our data acquisition systems are used in research and development, flight testing, missile and rocket telemetry production monitoring, power, and maintenance applications. AstroNova is a member of the Russell Microcap® Index and the LD Micro Index (INDEXNYSEGIS: LDMICRO). Additional information is available by visiting www.astronovainc.com.
Safe Harbor Statement
Information included in this news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include financial expectations relating to the acquisition of Astro Machine. Forward-looking statements are not statements of historical fact, but rather reflect our current expectations concerning the acquisition of Astro Machine. These statements may include the use of the words "believes," "expects," "intends," "plans," "anticipates," "likely," "continues," "may," "will," and similar expressions to identify forward-looking statements. Such forward-looking statements, including those concerning the benefits of the acquisition of Astro Machine, including, but not limited to, incorporating any potential synergies between AstroNova and Astro Machine, expanding our manufacturing capabilities, scaling the combined business and capitalizing on cross-selling opportunities, involve risks, uncertainties and other factors, some of which are beyond our control, which may cause our actual results, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. These risks, uncertainties and factors include, but are not limited to, (a) the risk we are unable to integrate Astro Machine's business and operations with and into AstroNova's existing business; (b) general economic, financial, industry, and business conditions; (c) the impact of the ongoing COVID-19 pandemic on us, our customers, our suppliers, and the global economy; (d) competition in the specialty printer or data acquisition industries; (e) our ability to obtain adequate pricing for our products and control our cost structure; and (f) the other factors set forth in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2022 and subsequent filings AstroNova makes with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. The reader is cautioned not to unduly rely on such forward-looking statements when evaluating the information presented in this news release.
View source version on businesswire.com: https://www.businesswire.com/news/home/20220808005837/en/
Contacts
Investor & Media Contact
Scott Solomon
Senior Vice President
Sharon Merrill
(617) 320-8282
ALOT@investorrelations.com
Related Quotes
A consortium led by China's Hollysys Automation Technologies management plans to take the U.S.-listed automation and control system maker private in a deal that would value the firm at $1.8 billion, people with knowledge of the matter said. The management team, led by founder and Chief Executive Officer Wang Changli, has won endorsement for the deal from the municipal government of Beijing, where the company is based, the people said. The Beijing municipal government also did not respond.
‘Rich Dad Poor Dad’ sees a window to get rich. He might be right.
Ready to go bottom fishing again? Any good angler can tell you that there’s plenty of good eating just waiting at the bottom of the creek, or the pond, or the lake. The same concept also holds for stocks – investors can always find some quality equities down at the market bottoms. Stocks get down there for a multitude of reasons, and the reasons aren’t always related to any fundamental flaw in the company or its share trading policies. Sometimes, it’s some idiosyncratic business move, or over-re
The S&P 500 broke below 4,000 this week, for the first time since the end of July. It has investors wondering: Does this mark the low point of a roller coaster ride? Stocks rose all last year, fell from January to June, rallied from July to mid-August, and now are falling again. According to Wells Fargo strategist Paul Christopher, it’s evidence that the stock rally is sputtering to a halt. Christopher writes that “Cracks in financial market liquidity are appearing,” and says of the S&P 500, “3,
12,000 puts bought in a single purchase for $2.14M on 8/26 are now worth over $36M. Was this just a lucky guess, or did this institutional trader know about the BIG NEWS that was about to drop just days after their bearish purchase?
Aurora Cannabis, Canopy Growth, OrganiGram Holdings, and Tilray Brands are all in the red yet again today.
Yahoo Finance Live anchors discuss second-quarter earnings for Okta.
The stock market is historically one of the best vessels investors can use to generate long-term wealth, but this year hasn't been easy. When it comes to finding a quality bargain, it can help to watch what professional investors on Wall Street are recommending. Advanced Micro Devices (NASDAQ: AMD) is one of the largest producers of semiconductors in the world.
For nearly six decades, Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) CEO Warren Buffett has put on a moneymaking clinic for Wall Street and everyday investors. Since taking over as CEO in 1965, he's overseen an average annual return for Berkshire's Class A shares (BRK.A) of a sizzling 20.1%. With the benchmark S&P 500 delivering its worst first-half return since 1970, a number of Berkshire Hathaway's holdings are now bargains.
A “superbubble” appears dangerously near its "final act" after the recent rally in U.S. stocks lured some investors back into the market just ahead of potential “tragedy,” according to Jeremy Grantham, the legendary co-founder of Boston-based investment firm GMO.
For years, people have kept an eye on what stock market pros like Warren Buffett, Ray Dalio, and others were buying. In recent years, Cathie Wood, CEO of ARK Invest, rose to prominence as her ARK Innovation exchange-traded fund (ETF) skyrocketed in value with timely investments in companies like Tesla, Roku, and Coinbase Global. Wood was active in August, adding to several long-standing positions in the ARK Innovation ETF.
This has been one of the most trying years in decades for Wall Street. The benchmark S&P 500, which is typically viewed as a barometer of Wall Street's health, produced its worst first-half return since 1970. While things have certainly not gone Wall Street's way in 2022, the investing community has still managed to find a bright light amid a gloomy situation.
The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even…
In its latest print, the meme-stock penciled in a 53% bottom-line miss.
Freeport-McMoRan Inc. ( NYSE:FCX ) shareholders (or potential shareholders) will be happy to see that insider Ryan…
Tough times are coming. But maybe not for investors.
First Eagle Investments is an independent, privately owned asset management firm dedicated to serving the needs of individuals and institutions worldwide as well as the financial professionals that advise them. Recently, the fund published its second-quarter 2022 investor letter – a copy of which can be downloaded here. The fund believes that the return to […]
(Bloomberg) — Warren Buffett’s Berkshire Hathaway Inc. trimmed its stake in BYD Co. even further, offloading another 1.72 million shares as of Sept. 1, according to an exchange filing Friday, just days after the legendary US investor began reducing his holding in China’s biggest maker of electric vehicles.Most Read from BloombergLukoil Chairman Ravil Maganov Dies After Falling From Hospital WindowPutin Brings China and India to Russia for War Games Defying USGlobal Bonds Tumble Into Their First
These companies have felt the global impact of a snarled supply chain and rising costs more than most.
Hotels were a great buy during COVID-19. Now that growth story is over, and I've bought shares of a fast-grower in South America.