Quick Facts
FONT-SIZE Plus   Neg
Share SHARE

ARC Wireless To Buy Advanced Forming Tech And Quadrant Metals Tech - Quick Facts

RELATED NEWS
Trade ARCW now with 

ARC Wireless Solutions Inc. (ARCW: Quote) announced the signing of definitive agreements to purchase Advanced Forming Technology Inc., or "AFT" and Quadrant Metals Technologies, LLC or "QMT".

ARC said that it will be renamed as ARC Group Worldwide, Inc. and will be a diversified manufacturing holding company with operations in Colorado, Florida, Pennsylvania, Texas, Minnesota, China and Hungary. ARC noted that it intends to continue to trade on the NASDAQ Capital Market with the ticker symbol "ARCW".

ARC Wireless Solutions stated that will acquire AFT, including its assets and operations in Hungary, for $43 million.

ARC said that will issue 7.86 million shares valued at $4.00 per share, a 36% premium to ARC's closing price as of April 12, 2012, to acquire QMT in a non-cash transaction.

Transaction values equity of QMT at $31.4 million, a significant discount to the low end of a range determined by an independent valuation and advisory services provider.

Pro-forma projected Net Sales for twelve months ending June 30, 2012: $66 million.

Historical EBITDA margins at QMT have been approximately 15-19%, which ARC would expect to achieve or improve on company-wide over time, upon integration and growth of its business.

The transaction, which is expected to be completed in the second quarter of 2012 subject to regulatory and shareholder approval, is also anticipated to involve a 1-for-1.95 reverse stock split.

Register
To receive FREE breaking news email alerts for ARC Group Worldwide Inc. and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Stocks moved notably higher over the course of the trading day on Friday after initially showing a lack of direction. The gains on the day extended the recent upward trend by the markets, with the tech-heavy Nasdaq reaching its best closing level in almost a month. Looking to capitalize on news of an Ebola diagnosis in New York City, Republican Senate candidate Scott Brown issued a statement Friday criticizing his Democratic opponent Sen. Jeanne Shaheen, D-N.H., for "waffling" on a travel ban. In another troubling sign for Democrats, the results of a Gallup poll released on Friday show that Tea Party Republicans are much more motivated to vote in the upcoming midterm elections than other Americans. The poll found that 73 percent of Tea Party Republicans are "extremely" or "very" motivated to vote in this year's elections.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.