Standex acquires high-reliability magnetics provider
Salem company strengthens capabilities with addition of Concord-based Agile Magnetics
Standex International Corporation recently announced that it has acquired the privately held Concord-based Regional Mfg. Specialists, Inc., a manufacturer of custom-designed electromagnetics that runs its business under the name Agile Magnetics.
Standex — a Salem-based multi-industry manufacturer in the areas of food service equipment, engraving, engineering technologies, electronics and hydraulics — purchased Agile Magnetics for $39.0 million in an all-cash transaction.
Founded in 1991, Agile Magnetics provides high-reliability magnetics including transformers, inductors and coils for mission critical applications for blue chip OEMs. Agile Magnetics serves semiconductor, military, aerospace, healthcare, industrial and commercial customers.
Agile Magnetics realized revenues of $17.2 million for the trailing twelve-month period ending August 31, 2018, according to a press release from Standex. The acquisition is expected to be accretive to earnings per share by $0.06 to $0.08 in fiscal year 2019 and $0.11 to $0.13 in fiscal year 2020, excluding one-time purchase accounting adjustments and transaction expenses. Agile Magnetics’ management team will be continuing with the company.
“The addition of Agile Magnetics is an important step forward in building out the high reliability magnetics business of Standex Electronics,” said Standex Chief Executive Officer David Dunbar. “As a result of this combination, Standex Electronics broadens its exposure to several high-growth end-markets and adds a valuable manufacturing and sales base in the Northeast. Additionally, we see exciting opportunities to drive sales synergies by offering complementary products from Standex’s broader portfolio to Agile’s customer base. We have looked at many high reliability magnetics businesses and Agile’s deep expertise in custom engineered solutions and strong, collaborative customer relationships makes it an excellent fit for our organization. We welcome Agile’s management and team of approximately 80 employees to the Standex family.”
“The combination of Agile and Standex Electronics will provide expanded capabilities and improve our responsiveness to customer demands,” said Standex Electronics President John Meeks. “Our combined customer base will have access to a deeper bench of global engineering resources while providing the benefits and responsiveness of local manufacturing. We are excited to welcome Agile’s talented employees to Standex. Their expertise in high-reliability magnetics in the semiconductor, industrial, aerospace and defense markets will strengthen our ability to provide best-in-class service.”
“Joining a world-class leader like Standex provides a global presence, deeper pool of resources and the ability to improve our competitive position in a variety of markets,” said Agile’s CEO James Atwood. “Our new broader set of capabilities and technology offerings will enable us to form deeper partnerships, better meet our customers’ needs and optimize our supply chain.”