- LSI Industries (NASDAQ:LYTS) completed the acquisition of all the capital stock of Atlas Lighting Products for cash payment of $96.9M, plus 200K five-year warrants to purchase LSI’s common stock at an exercise price of $9.95, for a total consideration of $97.5M.
- Funding will be provided by a combination of cash on hand and $66M from a new $100M commercial bank facility provided by PNC Bank.
- For FY2016 Atlas’ revenues were $56.5M, and operating income was $8.8M. Similarly, adjusted EBITDA is estimated to have been ~$9.7M. Net of cash, Atlas’ balance sheet was debt-free at December 25, 2016.
- Dennis W. Wells, Chief Executive Officer and President, commented, “I am very excited to announce the acquisition of Atlas Lighting Products. This highly strategic acquisition, the largest in LSI’s history, will immediately broaden our lighting product offering, expand our sourcing capabilities, improve our profit margins, and provide significant revenue and cost synergies.
- Source: Press Release