ORLANDO, Fla., March 29 (UPI) -- API Technologies Corp. of Florida is expanding communications and electronic component offerings through the acquisition of Pennsylvania's Spectrum Control Inc.
The companies announced they signed a definitive merger agreement under which Spectrum will operate as a wholly owned subsidiary of API Technologies.
Spectrum designs and manufactures high-performance, custom solutions for the defense, aerospace, industrial and medical industries.
"We are excited about the opportunity to combine with Spectrum to offer our customers an enhanced range of leading products and services to meet their evolving needs," said Brian Kahn, API chairman and chief executive officer.
Pursuant to the terms of the definitive agreement, API will acquire 100 percent of the issued and outstanding equity of Spectrum for $20 per share for a total purchase price of approximately $270 million.
The transaction is subject to customary closing conditions, including approval pursuant to the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and approval of Spectrum's shareholders.
Spectrum's board of directors unanimously approved the merger and recommended that Spectrum's shareholders vote in favor of the transaction.
The companies said that under terms of the deal Spectrum may solicit acquisition proposals from third parties through May 7.
API, through its subsidiaries, provides engineered systems, components and secure communications as well as high-quality engineering services, new product introduction, and turnkey manufacturing for electronic assembly, test, and build services to the global defense and aerospace industry.
