Teledyne reaches an agreement to acquire Flir Systems 6.500 millions of euros

Both companies offer a similar business model, although their technologies and products are complementary. Following the agreement, will be able to offer a complete portfolio of end-to-end sensor solutions.

Teledyne Technologies has reached an agreement to acquire Flir Systems in an operation valued at 6.504 millions of euros, transaction to be made in cash and shares.

"Our business models are similar, since we both provide sensors and cameras. However, our technologies and products are complementary with minimal overlap, because they have image sensors based on different semiconductor technologies for different wavelengths", comments Robert Mehrabian, Teledyne CEO.

Under the terms of the agreement, Flir shareholders will receive 28 dollars per share in cash and 0.0718 Teledyne shares for each of Flir's, which implies a total purchase price of 56 euros for each Flir share.

As part of the transaction, Teledyne has agreed to a credit commitment 3.660 millions of euros to finance the transaction and refinance existing debt.

"Thanks to our commitment to innovation, encompassing multiple detection technologies, we have been able to become the company we are today", explains Earl Lewis, president of Flir. "With our new partner's complementary technologies platform, we will be able to continue this trajectory, providing our employees, customers and shareholders further growth. Our Board supports this transaction, offering immediate value and the opportunity to participate in the company's bullish potential”.

For its part, Jim Cannon, president and CEO of Flir, explains the benefits of this acquisition. "Together, we will offer a complementary end-to-end sensory technology portfolio for all key domains and applications, through a global customer base, well balanced. We are pleased to partner with an organization that shares our focus on innovation and operational excellence".

Moreover, Teledyne has announced in a press release better preliminary financial results for the fourth quarter and the year 2020; while Flir has announced that he hopes to meet or exceed forecasts for the fiscal year 2020.

The transaction is expected to, which has been approved by the boards of both companies, closes in mid-time 2021 subject to receipt of required regulatory approvals.

Other articles on Flir, FLIR Systems, Teledyne