This morning, Lorex Technology announced it had entered into a definitive agreement with FLIR Systems to sell itself for $1.30 per share in cash. The acquisition values Lorex at just over $35-million.
Just when we felt there might be a lull, the M&A trend across Canada’s technology sector is proving remarkably persistent.
This morning, Lorex Technology (TSXV:LOX) announced it had entered into a definitive agreement with FLIR Systems (NASDAQ:FLIR) to sell itself for $1.30 per share in cash. The acquisition values Lorex at just over $35-million.
The transaction has been approved unanimously by the Boards of Directors of both FLIR and Lorex
Founded in 1996, Lorex got its start manufacturing and selling a range of video surveillance products it manufactured in Asia and sold in North America. Recently, the company has expanded into sub-sectors of the surveillance market. Earlier in March, the company debuted Live View, which it calls a “next-generation baby monitoring system, and features high end LCD screens and high night vision clarity. Another product, Live Connect, lets users connect to their home security system using Skype.
The company seemed to be just hitting its stride; for the first nine months of fiscal 2012, its revenue grew by $14.6 million or 33% over the prior year to $58.7 million. The Company’s EBITDA grew by $2.7 million or 68% over the prior year to $6.6 million.
Oregon-based FLIR Systems designs and sell thermal imaging systems for government and civil clients. The company reported its Q3 results today, revealing it had earned $0.37, on revenue of $332.2 million.
At press time shares of Lorex were up 32% to $1.27.
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