Electronics Production | October 07, 2004
VMETRO to acquire Transtech
Norwegian VMETRO has entered into a definitive agreement to acquire 100% of the shares in the UK based digital signal processing solutions provider Transtech DSP Limited.
Transtech DSP’s technology and product offerings within the areas of Digital Signal Processing (DSP) equipment represent a complement to VMETRO’s current line of Data Recorder and I/O solutions enabling the combined entity to provide complete high performance systems solutions for radar and sonar processing, digital software radio, spectrum analysis, telecommunications, medical imaging, as well as other advanced tests and measurements. The transaction also considerably strengthens VMETRO’s position in the UK market, providing access to a very attractive client base. VMETRO will as part of the transaction integrate Transtech DSP’s USA activities with its own subsidiary, VMETRO Inc. The purchase price for the shares is GBP 5 million in cash payable at closing, plus a two-year earn-out model enabling the sellers to obtain an additional consideration up to GBP 7 million payable in cash and/or VMETRO shares upon achieving certain financial targets.