Elecsys will buy Swiss RFID manufacturer
Elecsys Corp. has agreed to aquire a Switzerland company in an all-stock deal expected to close on June 16.
The Olathe-based electronic design and manufacturing company (Nasdaq: ESYS) said in a Thursday filing with the Securities and Exchange Commission that it agreed to buy all the capital stock of MBBS SA from investment holding company BSN Systems Inc., based in Irvine, Calif., for 175,000 shares of Elecsys stock.
Based on the $3.41 closing price Thursday of Elecsys shares, the deal’s value would be $596,750. The purchase also may include a payout based on MBBS’ performance during the next five years, the release said.
MBBS, which had revenue of $550,000 in 2008, is a tech company founded in 2000 that designs and develops radio frequency identification (RFID) products for harsh environments, Elecsys said in a Thursday release. Its patented METALuCID RFID technology can read and write electronic data through metals, including non-magnetic steels and other alloys, which allows RFID tags to be hermetically sealed inside objects such as surgical instruments, weapons and other devices, the release said fast cash online. MBBS products include custom tags, readers and software.
“We are excited about penetrating the expanding market for ultra-rugged RFID solutions,” Elecsys CEO Karl Gemperli said in the release. “The MBBS tags can resist high temperatures, pressures, chemicals and similar conditions where other tags would fail. These capabilities are an ideal fit for the harsh environments found in our existing customer markets where a wide range of potential new applications for this technology exist.”
He said the company believes the MBBS technology, added to Elecsys’ products and capabilities, “has the potential to greatly expand our business.”
A call to Elecsys was not immediately returned.
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