Molex to acquire Woodhead Industries
Molex Inc. and Woodhead Industries Inc. plan to merge. Molex will acquire Woodhead for $19.25 per share in cash, about $256 million, including payments on outstanding stock options, debt, and net of cash acquired. Boards of directors of both companies have approved.
The companies say that completion of the tender offer is subject to certain conditions, including the acquisition by Molex of a majority of Woodhead's common shares on a fully-diluted basis, receipt of regulatory approvals, and other customary conditions. The tender offer is not subject to a financing contingency. Woodhead’s board of directors unanimously recommended that Woodhead stockholders accept the offer.
“The acquisition of Woodhead is a significant step in our strategy to expand our products and capabilities in the global industrial market,” says Martin Slark, vice chairman and chief executive officer of Molex.
Philippe Lemaitre, chairman, president and chief executive officer of Woodhead says, “The combination of Woodhead with Molex will provide great opportunities for our customers, employees, suppliers, and other constituencies. Our industry is consolidating and Woodhead stakeholders will benefit from being part of a larger company with exciting growth opportunities.”
Molex, based in Lisle, IL, is a 67-year-old manufacturer of electronic components, including electrical and fiber-optic interconnection products and systems, switches and integrated products, with 57 plants in 19 countries on five continents. Woodhead, based in Deerfield, IL, develops, manufactures, and markets network and electrical infrastructure products for harsh, demanding, and hazardous industrial environments. It operates from 21 locations in 10 countries in North America, Europe, and Asia/Pacific.
--Edited by Mark T. Hoske , Control Engineering editor in chief