MIAMI & TUCSON, Ariz.--(BUSINESS WIRE)--HEICO Corporation (NYSE: HEI.A) (NYSE: HEI) today announced that its Electronic Technologies Group acquired approximately 93% of the stock of Apex Microtechnology, Inc. (“Apex”) in an all cash transaction. Members of Apex’s management own the balance of the firm.
HEICO stated that it expects the acquisition to be accretive to its earnings in the year following the purchase. Further financial terms and details were not disclosed.
Tucson, AZ-based Apex is the leading designer and manufacturer of precision power analog monolithic, hybrid and open frame components for a certain wide range of aerospace, defense, industrial, measurement, medical and test applications. Among Apex’s most recognized products are high-end Power Operational Amplifiers, PWM Amplifiers and Voltage References.
Founded in 1980, Apex employs nearly 100 people at its state-of-the-art Tucson headquarters, engineering and production facility, as well as at international sales locations. Apex is known as a leader for consistently developing products that lead the industry in terms of performance, quality, and reliability.
Apex’s entire management team will remain with the company in their pre-acquisition positions and no material staff turnover is expected. Apex will continue to operate in its current locations and will be led by its long-time CEO and shareholder, Greg Brennan, who remains a shareholder.
Laurans A. Mendelson, HEICO’s Chairman and Chief Executive Officer, along with Victor H. Mendelson, HEICO’s Co-President and CEO of HEICO’s Electronic Technologies Group, remarked, “Apex continues HEICO’s practice of buying the best-in-class, niche electronic components companies which are known for having excellent talent serving a demanding customer base. From the moment we met the Apex team, we were impressed by the operation they built and their commitment to quality. We welcome everyone at Apex to the HEICO family.”
Greg Brennan, Apex’s long-time CEO and part-owner, commented, “We wanted the right long-term partner for Apex and its people. That partner had to be someone who not only understood our business, our customers and our people, but also one that had the same commitment to constant product development and quality. We found HEICO as a terrific partner and we are excited to have come together.”
HEICO Corporation is engaged primarily in the design, production, servicing and distribution of products and services to certain niche segments of the aviation, defense, space, medical, telecommunications and electronics industries through its Hollywood, FL-based Flight Support Group and its Miami, FL-based Electronic Technologies Group. HEICO’s customers include a majority of the world’s airlines and overhaul shops, as well as numerous defense and space contractors and military agencies worldwide, in addition to medical, telecommunications and electronics equipment manufacturers. For more information about HEICO, please visit our website at http://www.heico.com.
Certain statements in this press release constitute forward-looking statements, which are subject to risks, uncertainties and contingencies. HEICO's actual results may differ materially from those expressed in or implied by those forward-looking statements as a result of factors including, but not limited to: lower demand for commercial air travel or airline fleet changes or airline purchasing decisions, which could cause lower demand for our goods and services; product specification costs and requirements, which could cause an increase to our costs to complete contracts; governmental and regulatory demands, export policies and restrictions, reductions in defense, space or homeland security spending by U.S. and/or foreign customers or competition from existing and new competitors, which could reduce our sales; our ability to introduce new products and services at profitable pricing levels, which could reduce our sales or sales growth; product development or manufacturing difficulties, which could increase our product development costs and delay sales; our ability to make acquisitions and achieve operating synergies from acquired businesses; customer credit risk; interest, foreign currency exchange and income tax rates; economic conditions within and outside of the aviation, defense, space, medical, telecommunications and electronics industries, which could negatively impact our costs and revenues; and defense budget cuts, which could reduce our defense-related revenue. Parties receiving this material are encouraged to review all of HEICO's filings with the Securities and Exchange Commission, including, but not limited to filings on Form 10-K, Form 10-Q and Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.