NEMATRON ACQUIRES INDUSTRIAL COMPUTER PRODUCTS FROM ACTION INSTRUMENTS, INC.
ANN ARBOR, Mich., Nov. 1 /PRNewswire/ -- Nematron Corporation (OTC Bulletin Board: NEMA.U) announced Oct. 29 that they have completed the acquisition of the Industrial Computer Products assets of San Diego- based Action Instruments, Inc. Nematron completed the transaction by exchanging approximately 10 percent of its stock for fixed assets and product rights, plus cash and a subordinated convertible note, for Action's Industrial Computer Products inventory. The acquisition is projected to add over $2.5 million in revenues for Nematron in the first year. Nematron intends to use the acquisition to increase its market share, increase manufacturing, engineering, and administrative economies of scale, and to strengthen its ability to sell and compete more effectively in its segments of the factory automation market. Paul Horst, Nematron's president, commented in the news release that "This acquisition is expected to contribute critical mass and incremental revenues for Nematron so that renewed investments can be made in sales and marketing for both the industrial workstation and the industrial computer segments, while near-term profitability can be measurably improved. Nematron plans to maintain strong support of Action's industrial computer sales channels, customers, and products." Nematron pioneered the Industrial Workstation market with products that integrate a display and keyboard with a variety of industrial computer designs for plant floor operator interface, monitoring and control. Action Instruments is a leading supplier of instrumentation and signal processing products for manufacturing and industrial processing applications. Action pioneered the design of IBM AT- compatible industrial computers as standalone systems without displays. Nematron is a publicly traded company headquartered in Ann Arbor, which trades under the symbol NEMA.U on the OTC Bulletin Board. -0- 11/1/93 /CONTACT: Paul Horst, president of Nematron, 313-994-0501/ (NEMA)
CO: Nematron Corporation; Action Instruments, Inc. ST: Michigan, California IN: CPR SU: TNM
SB-TO -- DE016 -- 9227 11/01/93 14:22 EST
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|Date:||Nov 1, 1993|
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