Firan Technology Group Corporation (“FTG”) Announces the Signing of a Definitive Agreement to Acquire IMI, Inc., a US Based Circuit Board Company
November 17 2022 - 5:12PM
Firan Technology Group Corporation (TSX:FTG), announced it has
entered into an agreement to acquire IMI, Inc. (“IMI”) based in
Haverhill, Massachusetts, north of Boston. IMI is a manufacturer of
specialty RF circuit boards focused on the aerospace and defense
markets. The closing of the acquisition is subject to approval by
the Committee on Foreign Investment in the United States (CFIUS)
and other customary closing conditions. The companies will shortly
apply for CFIUS approval. The closing of the transaction is
expected to take place in the first quarter of fiscal 2023.
FTG will acquire 100% of the common shares of
IMI for cash consideration of approximately $2M CAD, subject to
typical closing adjustments. The target company has had reported
annual sales of approximately $4-5M CAD in its unaudited financial
statements over the past few years.
“FTG had identified a desire to increase its
product offering of RF Circuit Boards for aerospace and defense
applications. This acquisition, if completed, will complement FTG’s
existing facilities, add new customers and provide a broader
product offering to our existing customer base”, stated Brad
Bourne, President and CEO, FTG Corporation. He added, “Peter
Bigelow has done an excellent job building IMI’s RF capability
through investments in people, processes and technology and FTG
plans to grow IMI from its current location.”
Peter Bigelow commented, “I am pleased with the
sale of IMI to FTG, as I believe FTG will continue to build the
business going forward to the benefit of IMI’s customers, employees
and other stakeholders. While the ownership of the company is
changing, I have agreed to remain with IMI as President for a
period of time after the closing of the sale to FTG.”
ABOUT FIRAN TECHNOLOGY GROUP CORPORATION
FTG is an aerospace and defense electronics
product and subsystem supplier to customers around the globe. FTG
has two operating units:
FTG Circuits is a
manufacturer of high technology, high reliability printed circuit
boards. Our customers are leaders in the aviation, defense, and
high technology industries. FTG Circuits has operations in Toronto,
Ontario, Chatsworth, California, Fredericksburg, Virginia and a
joint venture in Tianjin, China.
FTG Aerospace
manufactures and repairs illuminated cockpit panels, keyboards and
sub-assemblies for original equipment manufacturers of aerospace
and defense equipment. FTG Aerospace has operations in Toronto,
Ontario, Chatsworth, California and Tianjin, China.
The Corporation's shares are traded on the
Toronto Stock Exchange under the symbol FTG.
FORWARD-LOOKING STATEMENTS
This news release contains certain
forward-looking statements. These forward-looking statements are
related to, but not limited to, FTG’s operations, anticipated
financial performance, business prospects and strategies, the
expected closing of the acquisition, the CFIUS application and
approval, the source of funds for the acquisition price and the
benefits of the acquisition for FTG. Forward-looking information
typically contains words such as “anticipate”, “believe”, “expect”,
“plan” or similar words suggesting future outcomes. Such statements
are based on the current expectations of management of the
Corporation and inherently involve numerous risks and
uncertainties, known and unknown, including economic factors and
the Corporation’s industry, generally. The preceding list is not
exhaustive of all possible factors. Such forward-looking statements
are not guarantees of future performance and actual events and
results could differ materially from those expressed or implied by
forward-looking statements made by the Corporation. The reader is
cautioned to consider these and other factors carefully when making
decisions with respect to the Corporation and not place undue
reliance on forward-looking statements. Other than as may be
required by law, FTG disclaims any intention or obligation to
update or revise any such forward-looking statements, whether as a
result of new information, future events or otherwise.
For
further
information
please
contact:
Bradley C. Bourne, President and CEO Tel:
(416) 299-4000, ext. 314Firan Technology Group
Corporationbradbourne@ftgcorp.com
Jamie Crichton, Vice President and CFOTel: (416) 299-4000, ext.
264Firan Technology Group Corporationjamiecrichton@ftgcorp.com
Additional information can be found at the
Corporation’s website www.ftgcorp.com
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