WATERLOO, Ontario, March 28 -- Virtek Vision International Inc., a developer of precision industrial laser-based solutions, announced it has acquired, through a wholly owned subsidiary, 75 percent of FOBA Technology + Services GmbH of Ludenscheid, Germany, and the business assets of FOBA North America Laser Systems LLC of Lee's Summit, Mo., USA, from the HASCO Group for approximately 4.3 million euros (CAD$6.7 million). FOBA is a laser marking and engraving company.
Virtek will retain FOBA's facilities in Ludenscheid and in Nuremberg, Germany and in Lee's Summit, as well as FOBA's 98 employees from these facilities.
Virtek paid 1.5 million euros (CAD$2.4 million) on closing. Payments to the HASCO Group over the next three years include 500,000 euros (CAD$800,000) as part of the purchase price and 570,000 euros (CAD$912,000) for the business assets of FOBA North America Laser Systems LLC. Virtek will also assure the payment by FOBA of a long-term note of 1.7 million euros (CAD$2.7 million) to the HASCO Group. There were no Virtek shares issued as part of the transaction. In addition, Virtek has agreed to guarantee FOBA's operating line of up to 1 million euros (CAD$1.6 million) to support its ongoing operations.
FOBA was privately held by the HASCO Group, a supplier of standard elements for mould, tool and jig making, which continues to hold the remaining 25 percent ownership of FOBA. After the fifth anniversary of the acquisition, Virtek has an option to purchase the remaining 25 percent interest of FOBA from HASCO.
For more information, visit: www.virtek.ca