API - More products for the military.
Advanced Photonix, Inc. Announces Acquisition of Texas Optoelectronics, Inc.
Friday January 17, 4:58 pm ET
CAMARILLO, Calif.--(BUSINESS WIRE)--Jan. 17, 2003--Advanced Photonix, Inc.® (AMEX:API - News) announced today that it has acquired the outstanding capital stock of Texas Optoelectronics, Inc. (TOI) for the Purchase Price of 1,000,000 shares of API's Common Stock and retirement of outstanding debt of $1,200,000. The number of shares to be issued is subject to adjustment to reflect TOI's Balance Sheet as of the Closing date.
TOI, based in Garland, Texas, was founded in 1981 and is a privately owned developer and manufacturer of optoelectronic components and assemblies. TOI is a preferred military supplier for custom designed displays, assemblies, training devices and detectors for laser munitions. In addition, it has leveraged its experience within the military and aerospace markets to develop customized solutions for customers in other market segments, including medical systems, laboratory instrumentation, security, commercial and industrial automation.
In commenting on the purchase, Brock Koren, Advanced Photonix's President and Chief Executive Officer, stated, "The TOI acquisition significantly increases Advanced Photonix's penetration of the global military market while broadening our portfolio of customers in the commercial, medical and industrial markets. We look forward to welcoming the existing TOI customers into the Advanced Photonix family of customers and promise to offer the same superior quality, price and delivery that has been TOI's trademark."
Paul Ludwig, API's Chief Operating Officer, went on to say, "Our goal is to increase the manufacturing and process capability within the Company; the TOI acquisition helps to accomplish that goal by increasing our capabilities for supplying higher-end assemblies and subsystems to a variety of optoelectronic markets. The additional manufacturing volume will help us leverage our existing overhead thus creating a higher competitive advantage in our cost structure."
The Company reported that Texas Optoelectronics, Inc. recorded net revenue of $2.8 million for the eleven months ended November 30, 2002, with a net operating loss of ($304,000). Despite the recent operating loss, API remained optimistic about the prospects for future growth through cost leveraging and increased market share.
Richard Kurtz, Chairman of API, commented, "Our vision is to build Advanced Photonix into the leader of engineered optoelectronic solutions. The vision starts with having the right combination of design, manufacturing and process capabilities to create the foundation which will secure our position in the military, medical, commercial and industrial markets, while maintaining a competitive advantage in quality, cost and time to market. The TOI acquisition is a step toward realizing that vision."
Advanced Photonix, Inc.® (AMEX:API - News) is a leading supplier of innovative, silicon-based electro-optical products and design solutions to a global OEM customer base. Products include the patented Large Area Avalanche Photodiode (LAAPD) and FILTRODE® detectors, as well as PIN photodiodes. More information on Advanced Photonix can be found at advancedphotonix.com.
The information contained herein includes forward-looking statements that are based on assumptions that management believes to be reasonable but are subject to inherent uncertainties and risks including, but not limited to, unforeseen technological obstacles which may prevent or slow the development and/or manufacture of new products, limited (or slower than anticipated) customer acceptance of new products which have been and are being developed by the Company and a decline in the general demand for optoelectronic products.
Contact:
Advanced Photonix, Inc., Camarillo
Susan A. Schmidt, 805/987-0146 |
