HOLLYWOOD, FLA. & SARASOTA, FLA. & ST. JOHN’S, NEWFOUNDLAND--(BUSINESS WIRE)--
HEICO Corporation (NYSE: HEI.A) (NYSE: HEI) today announced that its Dukane Seacom Inc. (“Dukane Seacom”) subsidiary acquired 100% of the business and assets of the Emergency Locator Transmitter Beacon product line of Instrumar Limited (“ELT Product Line” or “ELT”) in an all cash transaction. Dukane Seacom is part of HEICO’s Electronic Technologies Group.
HEICO stated that it expects the acquisition to be accretive to its earnings within a year following the purchase. Further financial terms and details were not disclosed.
The ELT Product Line, which has a significant installed base on large commercial transport aircraft, designs and manufactures Emergency Locator Transmitter Beacons for the commercial aviation and defense markets. Upon activation, these safety-critical devices transmit a distress signal to alert search and rescue operations of the aircraft’s location.
The ELT Product Line is currently located in St. John’s, Newfoundland, Canada. It will be integrated into Dukane Seacom’s existing Sarasota, FL facility within a year following closing.
Anish V. Patel, Dukane Seacom’s President, stated, “We are very excited about the ELT product line acquisition. This product line addition compliments Dukane’s existing product offerings and allows us to better address our customers’ needs.”
Laurans A. Mendelson, HEICO’s Chairman & Chief Executive Officer, and Victor H. Mendelson, HEICO’s Co-President and CEO of its Electronic Technologies Group, jointly noted, “The ELT product line acquisition is consistent with our long-term strategy of acquiring highly engineered products and unique technologies. The Dukane Seacom team has a strong, acquisitive track record, as they have successfully acquired four businesses and/or product lines in the past six years. Additionally, this acquisition marks HEICO’s sixth in the past twelve months. Our disciplined growth strategy remains the same and we will continue to look for value-added, accretive acquisitions.”
Located in Sarasota, Florida, Dukane Seacom and its sister company, Radiant Power Corp., are focused on the design and manufacture of underwater locator beacons, emergency power supplies, power distribution and controls, flight deck sensors and indicators, and passenger comfort products for the aerospace and military markets. More information can be found at www.dukaneseacom.com or www.rpcaero.com.
HEICO Corporation is engaged primarily in the design, production, servicing and distribution of products and services to certain niche segments of the aviation, defense, space, medical, telecommunications and electronics industries through its Hollywood, Florida-based Flight Support Group and its Miami, Florida-based Electronic Technologies Group. HEICO’s customers include a majority of the world’s airlines and overhaul shops, as well as numerous defense and space contractors and military agencies worldwide, in addition to medical, telecommunications and electronics equipment manufacturers. For more information about HEICO, please visit our website at http://www.heico.com.
Certain statements in this press release constitute forward-looking statements, which are subject to risks, uncertainties and contingencies. HEICO's actual results may differ materially from those expressed in or implied by those forward-looking statements as a result of factors including: lower demand for commercial air travel or airline fleet changes or airline purchasing decisions, which could cause lower demand for our goods and services; product specification costs and requirements, which could cause an increase to our costs to complete contracts; governmental and regulatory demands, export policies and restrictions, reductions in defense, space or homeland security spending by U.S. and/or foreign customers or competition from existing and new competitors, which could reduce our sales; our ability to introduce new products and services at profitable pricing levels, which could reduce our sales or sales growth; product development or manufacturing difficulties, which could increase our product development costs and delay sales; our ability to make acquisitions and achieve operating synergies from acquired businesses; customer credit risk; interest, foreign currency exchange and income tax rates; economic conditions within and outside of the aviation, defense, space, medical, telecommunications and electronics industries, which could negatively impact our costs and revenues; and defense budget cuts, which could reduce our defense-related revenue. Parties receiving this material are encouraged to review all of HEICO's filings with the Securities and Exchange Commission, including, but not limited to filings on Form 10-K, Form 10-Q and Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.
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