MAYFIELD HEIGHTS, Ohio, Nov 17, 2009 (BUSINESS WIRE) -- Brush Engineered Materials Inc. (NYSE:BW) announced today that the
Company, through its wholly-owned subsidiary, Williams Advanced
Materials Inc. (WAM), has entered into a definitive agreement to acquire
privately held Academy Corporation. The acquisition is expected to be
consummated in January 2010, subject to the satisfaction or waiver of
customary closing conditions.
The transaction, valued at approximately $23 million, is expected to be
financed through internally generated cash and proceeds from the
Company's $240 million revolving line of credit. The acquisition is
expected to be accretive to earnings in 2010.
Based in Albuquerque, New Mexico, Academy, which has approximately 150
employees, will operate as a wholly-owned subsidiary.
Academy is a leading provider of precious and non-precious metals and
refining services. The Company's extensive North American manufacturing
capabilities include intermediate form products such as gold and silver
sputtering targets, large area metallic sheet material, fine wire, and
rod and powder. Among the markets served by Academy are architectural
glass, solar energy, electronics, chemicals, medical, industrial and
high-value jewelry. Along with WAM's global presence in precious metals
manufacturing and refining services, the Academy business will provide
customers a broader level of manufacturing, technology and services
worldwide.
Commenting on the acquisition, Dick Hipple, Brush Engineered Materials'
Chairman, President and CEO, said, "We welcome Academy and its dedicated
team of employees. There are both complementary and unique aspects of
both Academy and WAM which, together, will allow us to enhance our
position in traditional markets, and drive additional growth in new
markets."
He added, "Less than a month ago, we made the exciting announcement that
we had acquired Barr Associates, Inc., a leading manufacturer of
precision thin film optical filters. That acquisition, plus the addition
of Academy early next year, provides important momentum to the
transformation of Brush Engineered Materials and strengthens our
foundation for future growth by further broadening our advanced
materials technologies and product portfolio."
In recent years, the Company has made a number of strategic acquisitions
to augment its thin film and coatings capabilities, including the
purchase of Thin Film Technology, Inc. of Buellton, California, a
producer of precision optical coatings, thin film hybrid circuits, and
highly engineered thin film coatings and services, and Techni-Met, LLC
of Windsor, Connecticut, a manufacturer of large area precision thin
films supplying a wide range of high-end applications in established and
emerging markets.
Williams Advanced Materials Inc. manufactures precious, non-precious and
specialty metal products at its facilities in North America, Europe and
Asia, and provides value added services on a global basis. Major markets
for WAM's products include magnetic data storage, wireless, defense,
semiconductor, photonics, medical, photovoltaic, aerospace and key
applications of the microelectronics markets.
Brush Engineered Materials Inc. is headquartered in Mayfield Heights,
Ohio. The Company, through its wholly-owned subsidiaries, supplies
highly engineered advanced enabling materials to global markets.
Products include precious and non-precious specialty metals, inorganic
chemicals and powders, specialty coatings, specialty engineered
beryllium alloys, beryllium and beryllium composites, and engineered
clad and plated metal systems.
FORWARD-LOOKING STATEMENTS
Portions of the narrative set forth in this document that are not
statements of historical or current facts are forward-looking
statements. The Company's future performance may materially differ from
that contemplated by the forward-looking statements as a result of a
variety of factors, including risks and uncertainties specific to the
acquisition of Academy Corporation, including, among other things:
unexpected costs or liabilities that may arise from the acquisition of
Academy; the ability of Academy to retain key personnel; and the impact
of the results of operations of Academy on the Company's ability to
achieve fully the strategic and financial objectives related to the
transaction, including the acquisition being accretive to earnings.
Additional factors that may affect future results are contained in the
Company's filings with the SEC, which are available at the SEC's website
at www.sec.gov,
including, without limitation, the risk factors set forth in Part I,
Item 1A of the Company's Form 10-K for the year ended December 31, 2008.
All forward-looking statements included in this document are based upon
information available to the Company as of the date of this document and
speak only as of the date hereof. The Company disclaims any obligation
to update and revise statements contained in these materials based on
new information or otherwise.
SOURCE: Brush Engineered Materials Inc.
Brush Engineered Materials Inc.
Investors:
Michael C. Hasychak, 216-383-6823
Media:
Patrick S. Carpenter, 216-383-6835
or
http://www.beminc.com
Mayfield Hts-g
Copyright Business Wire 2009