MTS Completes Acquisition of Sensor Producer PCB Group, Inc.
EDEN PRAIRIE, MN, July 5, 2016 - MTS Systems Corporation (Nasdaq: MTSC), a leading global supplier of high-performance test systems and position sensors, announced today that it has completed the acquisition of 100% of PCB Group, Inc. ("PCB") for $580 million. PCB is a manufacturer of piezoelectric sensors and components used for vibration, pressure and force measurement. PCB is a global leader in the design, manufacture and distribution of sensor technologies that both enhance the performance of its customers' products, and enable those products to enter the market more rapidly and reliably.
"The completion of the PCB acquisition marks a major milestone for MTS Systems and we are very excited about welcoming them into the MTS organization," said Dr. Jeffrey Graves, President and Chief Executive Officer of MTS Systems. "The addition of PCB, with their strong brand and proven leadership, under the direction of PCB President, Dave Hore, positions MTS as a sustainable, technology-leading 'Test and Measurement' solutions provider with a broad product portfolio, positioned to service customers in every major market around the world. The combination brings scale to our current Sensors' business with highly complementary sensor products and strong channels to market, balancing the revenue mix between our Test and Sensors segments, while enhancing the margin profile of the company and creating significant cross-selling opportunities across the combined portfolio. We believe MTS is now an even stronger company that will drive meaningful EPS accretion and generate substantial incremental free cash flow over the long term, which will lead to accelerated value creation for our shareholders."
"We are very excited to join Dr. Graves and the MTS Team," said David T. Hore, President of PCB and of the combined PCB/MTS sensor business unit moving forward. "The innovative culture, technology leadership and commitment to customers make MTS an ideal fit for PCB. We are confident that this combination of our businesses, that are each true leaders in their markets, will create value for our customers and our employees through enhanced growth and increased efficiencies across both the industrial and test markets around the world. This enhanced growth and profitability, combined with strong free cash performance, will create increased value for MTS's shareholders for years to come."
About PCB Group, Inc.
PCB Group Inc., headquartered in Depew, New York, was founded in 1967 as a manufacturer of piezoelectric quartz sensors, accelerometers, and associated electronics for the measurement of dynamic pressure, force, and vibration that enhance the productivity, safety, reliability and efficiency of their customers' products and processes. PCB Group Inc. had 1,168 employees as of December 31, 2015.
About MTS Systems Corporation
MTS Systems Corporation's testing hardware, software and services solutions help customers accelerate and improve their design, development and manufacturing processes and are used for determining the mechanical behavior of materials, products and structures. MTS high-performance position sensors provide controls for a variety of industrial and vehicular applications. MTS had 2,400 employees as of October 3, 2015 and revenue of $564 million for the fiscal year ended October 3, 2015. Additional information on MTS can be found at www.mts.com.
SOURCE MTS Systems Corporation
CONTACT:
Andy Cebulla,
Director of Investor Relations and Treasurer,
(952) 937-4000
Web Site: www.mts.com
