STANDEX CLOSES ON SANYU SWITCH CO., LTD. ACQUISITION
Standex International Corporation (NYSE:SXI), which has an office in Salem, has closed on its previously announced acquisition of Sanyu Switch Co., Ltd. — a manufacturer of reed relays, test sockets, testing systems for semi-conductor and other electronics manufacturing, and other switching applications at its facility in Kumamoto, Japan.
In its first year of ownership, Standex expects the acquisition to achieve a double-digit return on invested capital.
“Completing the acquisition of Sanyu Switch Co., Ltd. continues Standex’s portfolio strategy of focusing on higher-margin businesses in faster growing markets,” said Standex Chairman and CEO David Dunbar. “We look forward to building on the legacy established by Sanyu and its employees over the last 50 years.”
Standex is a global industrial growth company specializing in electronics, engraving, scientific, engineering technologies and specialty solutions with operations in the U.S., Europe, Canada, Japan, Singapore, Mexico, Turkey, South Africa, India and China.
SENET ACQUIRED BY NETMORE GROUP
Netmore Group, a LoRaWAN operator in Europe, has acquired Portsmouth-based Senet, the operator of the largest public LoRaWAN network in North America, and will continue its operations from its Portsmouth headquarters.
For close to 10 years, Senet has been bringing LoRaWAN (Low Power Wide Area Networking) technology to its portfolio of public and private network offerings in large-scale commercial markets that include utilities, energy, enterprise and asset tracking/logistics. With a global footprint, Netmore Group will assist Senet with its connectivity services, network infrastructure management, network and device monitoring and management, radio planning, maintenance and customer support on a global scale.
BAE SYSTEMS COMPLETES ACQUISITION OF BALL AEROSPACE
BAE Systems has completed the acquisition of Ball Aerospace from Ball Corporation.
The transaction closed at a purchase price of $5.5 billion, which has been funded through existing cash and new external debt.
Ball Aerospace is a provider of spacecraft, mission payloads, and optical and antenna systems for customers in the intelligence community, U.S. Department of Defense, civilian space agencies, and with major aerospace and defense primes, among others.
“We look forward to welcoming the employees of Ball Aerospace to BAE Systems, bringing one of the industry’s most respected and capable businesses into the Group,” said Charles Woodburn, chief executive of BAE Systems. “The addition of this quality, fast-growing, technology-focused business will significantly expand our presence in this increasingly critical space domain and further enhances our value compounding model of top-line growth, margin expansion and high cash generation.”
The newly acquired business will be called Space & Mission Systems and will map within the Electronic Systems Nashua facility.
CONNECTION REPORTS Q4 AND FY2023 RESULTS
Connection (NASDAQ: CNXN) — an IT solutions provider to business, government, health care and education markets — announced that, for the fourth quarter and year ended December 31, 2023, its board of directors has increased the quarterly dividend by 25% to $0.10 per share on the company’s common stock, which will be payable on March 15, 2024, to shareholders.
Net sales for Q4 in FY2023 decreased by 4.9%, year over year. Gross profit increased 4.4% while gross margin expanded 166 basis points to 18.6%, compared to the prior year quarter.
Net sales for the full year decreased by 8.8%, compared to the year ended December 31, 2022.
Net income for the year decreased by 6.7% to $83.3 million, or $3.15 per diluted share, compared to net income of $89.2 million, or $3.37 per diluted share, for the year ended December 31, 2022. Earnings before interest, taxes, depreciation and amortization, adjusted for stock-based compensation expense and restructuring and other charges decreased 3% to $135.5 million for the year ended December 31, 2023, compared to $139.3 million for FY 2022. Adjusted Diluted Earnings decreased to $3.23 per share for the year, compared to $3.37 per share for FY 2022.
