Scientific Technologies (NASDAQ:STIZ)
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From Jun 2019 to Jun 2024
Scientific Technologies Incorporated (NASDAQ:STIZ), a
leading North American provider of automation safeguarding products,
announced today that it had completed its previously announced merger
with a subsidiary of Japan-based Omron Corporation ("Omron"). STI
shareholders will receive $10.67 per share in cash as a result of the
merger, and STI will cease to be a publicly-traded company. Also as a
result of the merger and related transactions, Omron acquired STI's
Safety Products Group (SPG) business and STI sold its Automation
Products Group (APG) business to Automation Products Group, Inc., a
new company formed by members of the Lazzara family. The total
transaction values the equity of the Company at approximately $110.8
million.
"We are pleased that our shareholders have approved this
transaction and that the merger is now complete," said Joseph J.
Lazzara, President and Chief Executive Officer of STI. "We believe
this transaction provides significant liquidity to our shareholders
while providing exciting new platforms of opportunity for our
customers and employees."
"The Company's Safety Products Group business is now part of a
larger, global company and will operate under the name of Omron
Scientific Technologies, Inc.," said Mr. Lazzara. "We believe this
transaction will create a global leader in the industrial safety
market, with the resources of a world-class organization such as Omron
and the North American automation safety expertise of STI."
Mr. Fumio Tateisi, Executive Vice President of Omron Corporation
and President of Omron's Industrial Automation Business, said, "We are
very pleased to have completed this transaction and look forward to
being able to offer a wider range of cutting-edge safety products and
consultancy services to our industrial-safety customers."
The operations of STI's Safety Products Group will remain in
Fremont, California.
With regard to the Company's APG unit, Mr. Lazzara said, "The
Company's APG business will continue to operate out of its Logan, Utah
facilities as the Automation Products Group, Inc. under private
ownership of the Lazzara family." He added, "We look forward to
continuing to provide our APG customers with the highest quality
sensor products and continue our long history of product innovation in
that area."
Wilson Sonsini Goodrich & Rosati acted as legal advisor and The
Spartan Group LLC acted as financial advisor to STI.
About Scientific Technologies Inc.
Scientific Technologies, Inc. (STI) is a North American leading
provider of automation safeguarding products and services through its
Safety Products Group. STI's Optical Sensor Division (OSD) provides
safety products that are used to protect workers around machinery,
automated equipment and industrial robots. Our products serve a wide
variety of applications and markets, including semiconductor,
automotive, electronics manufacturing, packaging and consumer markets.
STI's Machine Services Division (MSD) provides safety services such as
safeguarding equipment installations, machine safety assessments, and
the design and custom fabrication of guarding solutions. MSD
specializes in machinery services including the repair, relocation,
installation and service of fabricating machinery. MSD serves
customers in a variety of industries, including metal fabrication,
aerospace, electronics, building materials, automotive and food
processing. Our web site is located at www.sti.com.
STI's Automation Products Group serves the factory automation,
semiconductor, transportation, oil and gas, consumer and food
processing industries with a diversified offering of sensing
technologies. Products include level, flow, pressure sensing,
positioning transducers, vehicle separation, profiling and ultrasonic
sensors and controls. Further information is available at the Group's
web sites: www.automationsensors.com, and www.stiscanners.com.
About Omron Corporation
Omron Corporation, headquartered in Kyoto, Japan, is a global
leader in the field of automation with approximately $6 billion in
annual revenues. Established in 1933 and headed by President and CEO
Hisao Sakuta, Omron has more than 26,000 employees in 35 countries
working to provide products and services to customers in a variety of
fields including industrial automation, electronic components, social
systems (ticket gate machines, ticket vending machines and traffic
control) and healthcare. Further information on Omron is located at
www.omron.com.
Forward-Looking Statements
Certain statements in this press release, including statements
regarding the expected benefits of the closing of the merger with
Omron and the sale of APG, are forward-looking statements that are
subject to risks and uncertainties. These risks and uncertainties,
which could cause STI's results to differ materially from the
forward-looking statements, include: economic and political conditions
in domestic and international markets; declining market demand for
industrial safety and security products generally; introduction of or
increased demand for alternative products; potential errors, defects,
design flaws or other problems with our products; changes in
regulations relating to industrial safety and security products; and
the other risks detailed from time to time in STI's Securities and
Exchange Commission filings and reports, including STI's annual report
filed on Form 10-K and quarterly reports filed on Form 10-Q. STI
disclaims any obligation to update information contained in any
forward-looking statement.