Astronics Corporation Completes Acquisition of Telefonix Inc.

08:48 12/03/2017

Astronics Corporation ATRO  announced today that they have acquired Telefonix, Inc. and a related company, Product Development Technologies (PDT), LLC for $104 million in cash. Astronics is a global leader in advanced technologies for the global aerospace, defense and semiconductor industries, and the acquisition was financed with Astronics’ line of credit. Astronics previously announced that it had entered into a definitive agreement to acquire Telefonix PDT on October 27, 2017.

Telefonix PDT is located in Waukegan and Lake Zurich, Illinois and they design and manufacture advanced in-flight entertainment and connectivity equipment. They also provide industry leading design consultancy services for the global aerospace industry.

The company’s products cover a vast spectrum that includes wireless access points, file servers, content loaders, passenger control units and cord reels, while also providing its customers engineering services.

The impact of the acquisition to earnings in 2017 is expected to be nominal. Astronics anticipates that Telefonix PDT will contribute approximately $70 million to $75 million in revenue in 2018 and that the acquisition will be accretive to earnings.

Astronics’ strategy is to increase its value by developing technologies and capabilities, either internally or through acquisition, and using those capabilities to provide innovative solutions to its targeted markets and other markets where its technology can be beneficial.

Through its wholly owned subsidiaries, Astronics has a reputation for high-quality designs, exceptional responsiveness, strong brand recognition, and best-in-class manufacturing practices.

This article has been provided by a Chasing Markets contributor. All content submitted by this author represent their personal opinions, and should be considered as such for entertainment purpose only. All opinions expressed are those of the writer, and may not necessarily represent fact, opinions, or bias of Chasing Markets.
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