World News – United States – Teledyne acquires Flir Systems in a cash-and-stock deal valued at approximately $ 8 billion

Teledyne Technologies Inc. .
TDY,
0. 23%
has agreed to use Flir Systems Inc. To take over.
FLIR,
0. 05%
in a cash-and-stock deal valued at approximately $ 8 billion. Under the terms of the contract, Flir shareholders will receive $ 28 in cash and $ 0. 0718 Teledyne shares for each share held for a total purchase price of $ 56 per Flir share based on Teledyne’s 5-day volume-weighted average price as of March 31. December. The deal offers a 40% premium over Flir’s 30-day volume-weighted average price as of Jan.. December. Teledyne provides instruments, digital imaging products and software, aerospace and defense electronics, and engineering systems. Flir manufactures sensors for defense and industrial purposes. « Our two companies focus on proprietary sensor technologies. Our business models are also similar: We supply our customers with sensors, cameras and sensor systems. However, our technologies and products are uniquely complementary with minimal overlap and have image sensors based on different semiconductor technologies for different wavelengths, « said Robert Mehrabian, Executive Chairman of Teledyne, in a statement. Teledyne has secured $ 4. 5 billion 364-day loan approval to fund the business and refinance some of its debt. The transaction is expected to close in mid-2021 and will increase earnings immediately with no transaction costs. Flir shares rose 20. 5% premarket on the news but down 17% in the last 12 months during the S&P 500
SPX,
0. 64%
won 16%. Teledyne shares were not yet active.

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FLIR Systems, Teledyne Technologies, NASDAQ: FLIR, Teledyne, Stock, NYSE: TDY