COMPUTER PRODUCTS, INC. TO ACQUIRE HEURIKON CORPORATION
COMPUTER PRODUCTS, INC. TO ACQUIRE HEURIKON CORPORATION BOCA RATON, Fla., Nov. 21 /PRNewswire/ -- Computer Products, Inc.
(NASDAQ: CPRD), a multinational electronics company, today announced it has reached an agreement in principle to acquire the net assets and business of Madison, Wis.-based Heurikon Corporation for $12 million of cash and notes, and additional payments based upon future operating performance. Heurikon Corporation, with annual sales of approximately $22 million, is a privately owned producer of high performance single-board computers used in real-time industrial applications. The transaction, which is subject to the approval of both companies' boards of directors, is expected to close by year-end.
Heurikon Corporation, founded in 1972, is a recognized leader in real-time microcomputer technology. The company has enjoyed continuously profitable growth. For six years running, INC. Magazine ranked Heurikon among the top 500 fastest growing, privately held small companies in the U.S. Heurikon's board-level products meet a variety of industry standards, with particular strength in the rapidly growing VME marketplace, where it is among the largest participants for technical VME applications. Heurikon also has a high level of systems and applications knowledge which enables the company to provide a complete range of both hardware and software tools including single-board computers, peripherals, development software and completely integrated systems. Its products are used in a wide variety of embedded real-time applications for instrumentation, telecommunications and computers/peripherals. Some specific applications include motion control, image processing, stock trading systems, high speed report printers, traffic control, and simulation. Commenting on the proposed acquisition, John N. Lemasters, chairman, president and CEO of Computer Products said, "Heurikon adds an important new product line with outstanding growth potential, and it provides important core technology from which to expand our industrial automation business. We are also fortunate to be gaining excellent management with the vision necessary to realize the tremendous potential in this field. In addition, we see significant opportunity for mutually beneficial interaction between Heurikon and our Measurement & Control Division. Both concentrate on real-time applications and configure their products into custom subsystems to meet specific customer needs. In fact, our new generation of intelligent I/O devices, known as G 2, will use Heurikon's single-board computers as a key component." Christopher M. Priebe, a founder and president of Heurikon Corporation will be named Computer Group president and a corporate vice president of Computer Products, Inc. Priebe stated, "Everyone at Heurikon is enthusiastic about joining Computer Products. We have noted from the outset the enormous compatibility of our two organizations. Heurikon Corporation's expertise and vision in both microcomputer technology and real-time applications for board-level products, coupled with Computer Products' operational strengths and considerable resources, will position us to move forward aggressively with our growth plans. We will be true partners in real-time." Computer Products, Inc., headquartered in Boca Raton, Fla., is a multinational manufacturer of standard and custom-designed electronic subsystems for power conversion and industrial automation applications. -0- 11/21/91 /CONTACT: John Lemasters of Computer Products, Inc., 407-451-1000; or Claudia Zaner, 212-237-2769/ (CPRD) CO: Computer Products, Inc.; Heurikon Corporation ST: Florida, Wisconsin IN: CPR SU: TNM SS-AW -- FL001 -- 5707 11/21/91 08:24 EST
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|Date:||Nov 21, 1991|
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