AVT to acquire GMI for $33 million.

Advanced Vision Technology (AVT), a leader in automatic inspection solutions for printing applications based in Hod Hasharon, Israel, has announced the planned acquisition of Graphic Microsystems Inc. (GMI), from Dover Diversified Inc., a subsidiary of Dover Corporation, for $33 million in cash. GMI is a manufacturer of pressroom automation equipment. The acquisition is expected to close later this month.

AVT develops and manufactures automatic inspection solutions for printing applications, and is a market leader in packaging and labels, print process control and quality assurance applications. GMI is a supplier of closed loop color control systems, color management and reporting software and remote digital ink fountain control systems. The company's products are sold to commercial, semi-commercial, newspaper, and specialty printers in the heat-set and cold-set web printing markets as well as printing press OEMs worldwide.

GMI's remote digital ink fountain control and closed loop color control products can be found at more than 3,000 and 700 sites worldwide, respectively. GMI is based in Sunnyvale, CA and Rockwall, TX, USA; and in Mechelen, Belgium. It maintains a network of sales offices in North America and Europe as well as a worldwide service network. AVT intends to maintain GMI's offices around the world.

"The merger creates a major technology provider for the printing industry and brings AVT into a whole new league," says Shlomo Amir, AVT's president and CEO. "For two years, AVT has been looking into penetrating other markets via acquisition. GMI operates in adjacent print markets to AVT; its color technology is unique and complements AVT's vision technology. Both companies are leaders in their fields and have developed unique technologies. This synergy provides a strong platform for further expansion, organic and non-organic. As GMI is a profitable company with revenues similar in size to AVT, the acquisition allows us to double in size and accelerate EPS growth."