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Vontier To Acquire DRB Systems For About $965 Million In Cash - Quick Facts

Industrial technology firm Vontier Corp. (VNT) announced Monday that it has entered into a definitive agreement to acquire DRB Systems, LLC, a leading provider of point of sale, workflow software, and control solutions to the car wash industry, from New York-based investment firm New Mountain Capital LLC for approximately $965 million in cash.

DRB's portfolio includes brands such as DRB Tunnel Solutions, DRB In-Bay Solutions, Suds Creative, eGenuity, Washify, InvoMax, Auto Data and Sage Microsystems.

The acquisition will be subject to customary closing conditions, including regulatory approval, and will be financed with available cash and proceeds from borrowings under Vontier's credit facilities. Vontier anticipates that the acquisition will close in the third quarter of 2021.

The acquisition of DRB is expected to accelerate Vontier's portfolio diversification strategy toward long-term secular growth drivers in attractive markets and establish a $500 million Retail Solutions portfolio.

Vontier expects DRB to generate approximately $170 million of revenue in 2021 with mid-20% operating margins and is expected to have a high-single digit long-term growth rate.

Vontier also announced that it expects second quarter 2021 core revenue growth and adjusted diluted net earnings per share to be above its previously announced guidance, driven primarily by increased demand for Retail Solutions and Auto Repair offerings.

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