Flir and HGH Infrared Systems active in acquisition deals
Two infrared imaging companies have made acquisitions in June in order to expand their respective businesses.
Flir Systems has purchased precision optics developer Armasight for $41 million, while HGH Infrared Systems bought calibration specialist Electro Optical Industries, creating a completely new entity with enhanced development and manufacturing capabilities in the USA.
Armasight, based in San Francisco, produces night vision, thermal and daylight imaging products for hunters, outdoor enthusiasts, law enforcement and military customers. The company develops and distributes a wide range scopes, binoculars, goggles, and illuminating tools.
Flir's acquisition of Armasight will combine these products with Flir's existing lines of personal vision systems and thermal weapon sights. The combined business line will be named Flir Outdoor and Tactical Systems and will be reported within Flir's Surveillance segment.
‘The addition of Armasight to our existing scopes and sights business provides us with meaningful additional scale and injects additional market expertise to better serve the growing hunting and military scopes markets,’ said Andy Teich, President and CEO of Flir. ‘We are pleased to welcome this talented team in further leveraging Flir's established channels into global military and law enforcement customers, as well as utilise our advanced thermal sensor development and vertically-integrated production capabilities to advance their products and reduce costs.’
Flir anticipates this transaction will be neutral to 2016 net earnings and accretive thereafter.
HGH Infrared Systems is an American subsidiary of HGH Systemes Infrarouges, and specialises in infrared technology through the development of multiple advanced sensors. On purchasing Electro Optical Industries (EOI), also based in North America, HGH formed a new entity called Electro Optical Industries Inc.
EOI provides infrared, visible, and ultraviolet testing and calibration equipment to a wide range of national and international industries, including aviation and aerospace.
Commenting on the transaction, Thierry Campos, president of the newly formed Electro Optical Industries Inc, said: ‘This merger will greatly enhance our development and manufacturing capabilities in the USA. It will also significantly extend our product line and service offerings to the benefit of our customers worldwide.’