LOS ANGELES, April 10, 2012 /PRNewswire/ -- The Gores Group, a leading Los Angeles-based private equity firm, today announced that through an affiliate it has signed a definitive agreement to acquire TE Connectivity's Touch Solutions business for $380 million in cash.
The Touch Solutions business is a global supplier of touch screens, touch monitors and all-in-one touch computers that are marketed under the Elo TouchSystems brand. Elo TouchSystems, which is widely recognized as the preeminent brand in the touch systems industry, is well known for delivering a superior breadth of offerings and for the quality and reliability of its products. Headquartered in Menlo Park, California, the business generated sales of $413 million in fiscal 2011.
The Gores Group noted that the touch systems industry is enjoying strong secular growth driven by the mainstream adoption of touch interfaces and proliferation across commercial and consumer vertical markets.
"As a pioneer and global leader in high-performance touch solutions, Elo TouchSystems is a compelling addition to The Gores Group portfolio of companies," said Ryan Wald, Managing Director of M&A for The Gores Group. "Elo TouchSystems is well positioned in the industry because of its premier brand name and strong relationships with customers and channel partners. We plan to expand its offerings through investment in organic growth and strategic acquisitions."
Tim Meyer, Managing Director of Operations for The Gores Group, added, "Elo's leadership position and strong technology and product portfolio provide an excellent growth platform. We look forward to partnering with management to achieve the full potential of the business."
The transaction is subject to customary regulatory approvals and is expected to close in the second calendar quarter.
About The Gores Group, LLC
The Gores Group, LLC is a private equity firm focused on acquiring controlling interests in mature and growing businesses which can benefit from the firm's operating experience and flexible capital base. The firm combines the operational expertise and detailed due diligence capabilities of a strategic buyer with the seasoned M&A team of a traditional financial buyer. The Gores Group, which was founded in 1987 by Alec E. Gores, has become a leading investor having demonstrated over time a reliable track record of creating substantial value in its portfolio companies alongside management. Headquartered in Los Angeles, the Gores Group maintains offices in Boulder, CO, and London. For more information, please visit www.gores.com.
SOURCE The Gores Group