Commercial Vehicle Group Announces Acquisition Of Daltek
NEW ALBANY, Ohio, Dec. 28, 2012 /PRNewswire/ -- Commercial Vehicle Group, Inc. (Nasdaq: CVGI) announced today that it has acquired substantially all of the assets of Daltek, LLC ("Daltek"), a company specializing in the application of customized industrial hydrographic films, paints and other interior and exterior finishes. Daltek has two leased facilities in Dalton, Georgia and employs 42 full-time associates in addition to a number of temporary workers during peak demand.
The acquired business offers services primarily in the ATV/UTV market. Daltek's top four customers are Honda, John Deere, Yamaha and Bemis.
"This acquisition complements our existing exterior and interior trim products and fits our long-term strategic plan for growth and diversification outside of the Class 8 market," said Mervin Dunn, President and Chief Executive Officer of Commercial Vehicle Group. "We look forward to working with the employees, customers and suppliers as we move forward with this exciting new opportunity," added Mr. Dunn.
Total cash consideration for the transaction was approximately $13.2 million; 80% paid at closing while the remainder is payable one year after the closing date, as negotiated by the parties.
For the full year 2013, the Company expects the acquisition to achieve revenues of approximately $13.2 million, operating income of approximately $3.2 million and depreciation and amortization expense of approximately $0.6 million. The Company expects the acquisition to be incremental to diluted earnings per share by approximately $0.07 for the full year 2013.
About Commercial Vehicle Group, Inc.
Commercial Vehicle Group, Inc. is a leading supplier of a full range of cab related products and systems for the global commercial vehicle market, including the heavy-duty (Class 8) truck market, the construction, military, bus and agriculture markets and the specialty transportation markets. Our products include static and suspension seat systems, electronic wire harness assemblies, controls and switches, cab structures and components, interior trim systems (including instrument panels, door panels, headliners, cabinetry and floor systems), mirrors and wiper systems specifically designed for applications in commercial vehicles. The Company is headquartered in New Albany, OH with operations throughout North America, Europe, Asia and Australia. Information about the Company and its products is available on the internet at www.cvgrp.com.
This press release contains forward-looking statements that are subject to risks and uncertainties. These statements often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," or similar expressions. In particular, this press release may contain forward-looking statements about Company expectations for future periods with respect to revenues, operating income, depreciation and amortization expense, earnings per share and the Company's financial position or other financial information. These statements are based on certain assumptions that the Company has made in light of its experience in the industry as well as its perspective on historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. Actual results may differ materially from the anticipated results because of certain risks and uncertainties, including but not limited to: (i) the Company's ability to develop or successfully introduce new products; (ii) risks associated with conducting business in foreign countries and currencies; (iii) general economic or business conditions affecting the markets in which the Company serves; (iv) increased competition in the heavy-duty truck market; (v) the Company's failure to complete or successfully integrate additional strategic acquisitions; and (vi) various other risks as outlined in the Company's SEC filings. There can be no assurance that statements made in this press release relating to future events will be achieved. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on behalf of the Company are expressly qualified in their entirety by such cautionary statements.
SOURCE Commercial Vehicle Group, Inc.