Arrow Electronics Initiating Tender Offer to Acquire Data Modul AG
January 28 2015 - 4:15AM
Business Wire
--Expands Visual Solutions Capabilities and
Geographic Footprint--
Arrow Electronics, Inc. (NYSE:ARW), through its wholly-owned
subsidiary in Munich, Germany (“Arrow CEHM”), is initiating an
all-cash tender offer to acquire the shares of DATA MODUL
Aktiengesellschaft Produktion und Vertrieb von elektronischen
Systemen (“Data Modul AG”) (FSE:DAM) for a purchase price of €27.50
per share ($31.00 per share based on current exchange rates). The
purchase price represents a premium of approximately 35 percent on
the weighted average stock exchange price of the Data Modul
AG-shares during the prior three months.
“This acquisition expands and strengthens our visual solutions
capabilities and will broaden both our offerings and our geographic
reach in this important market. We are excited to welcome the Data
Modul team to Arrow,” said Michael J. Long, chairman, president and
CEO of Arrow.
In conjunction with this tender offer, Arrow CEHM has entered
into agreements with several shareholders of the company including
the Hecktor family and Varitronix Investment Limited through which
Arrow CEHM has secured the acquisition of approximately 37% of the
nominal share capital of the company. The management board and
supervisory board of Data Modul AG support the transaction.
Headquartered in Munich, Germany, Data Modul AG has operations
in Europe, Middle East, Asia, and North America. Sales in 2014 are
estimated to be €160 million. The purchase price assuming all
shares are tendered would be approximately €94 million ($105
million based on current exchange rates).
For more information, please visit arrow.com/datamoduloffer.
Arrow Electronics (www.arrow.com) is a global provider of
products, services and solutions to industrial and commercial users
of electronic components and enterprise computing solutions. Arrow
serves as a supply channel partner for more than 100,000 original
equipment manufacturers, contract manufacturers and commercial
customers through a global network of more than 460 locations in 58
countries.
Safe Harbor
The Private Securities Litigation Reform Act of 1995 provides a
“safe harbor” for forward-looking statements. This press release
includes forward-looking statements that are subject to numerous
assumptions and a number of risks and uncertainties that could
cause actual results or facts to differ materially from such
statements for a variety of reasons including, but not limited to:
industry conditions, the company’s implementation of its new
enterprise resource planning system, changes in product supply,
pricing and customer demand, competition, other vagaries in the
global components and global ECS markets, changes in relationships
with key suppliers, increased profit margin pressure, the effects
of additional actions taken to become more efficient or lower
costs, risks related to the integration of acquired businesses,
change in legal and regulatory matters, the company’s ability to
generate additional cash flow and the other risks described from
time to time in the company’s reports to the Securities and
Exchange Commission (including the company’s Annual Report on Form
10-K and Quarterly Reports on Form 10-Q). Forward-looking
statements are those statements, which are not statements of
historical fact. These forward-looking statements can be identified
by forward-looking words such as “expects,” “anticipates,”
“intends,” “plans,” “may,” “will,” “believes,” “seeks,”
“estimates,” and similar expressions. Shareholders and other
readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date on
which they are made. The company undertakes no obligation to update
publicly or revise any of the forward-looking statements.
Arrow Electronics, Inc.Contact:Steven O’Brien,
303-824-4544Director, Investor RelationsorPaul J. Reilly,
631-847-1872Executive Vice President, Finance and Operations,
&Chief Financial OfficerorMedia Contact:John Hourigan,
303-824-4586Vice President, Global Communications
Arrow Electronics (NYSE:ARW)
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