Electronic Sensor Maker Teledyne Acquires FLIR Systems for $8B
Electronic sensor technology maker Teledyne Technologies (TDY) – Get Report on Monday agreed to buy thermal image technology and hardware provider FLIR Systems (FLIR) – Get Report in a cash-and-stock deal valued at approximately $8 billion.
Under terms of the agreement, FLIR shareholders will receive $28 a share in cash and 0.0718 a share of Teledyne common stock for each FLIR share, implying a total purchase price of $56 per FLIR share based on Teledyne’s five-day volume-weighted average price as of Dec. 31.
The transaction reflects a 40% premium for FLIR stockholders based on FLIR’s 30-day volume-weighted average price as of Dec. 31, the companies said.
Shares of FLIR were up 20.19% at $52.68 in trading on Monday.
As part of the transaction, Teledyne has arranged a $4.5 billion, 364-day credit commitment to fund the transaction and refinance certain existing debt. Teledyne expects to fund the transaction with permanent financing prior to closing.
