Pacific Insight reaches agreement with Methode Electronics
Methode Electronics Inc. has agreed to acquire Nelson BC-based Pacific Insight Electronics Corp. in an all-cash transaction for total consideration of approximately CAD$144 million.
“I am very pleased with the opportunities this transaction will present. For our shareholders, this transaction will create compelling value by providing them liquidity at an attractive valuation and premium to market in an all-cash transaction. Methode is the ideal partner for us given the complementary nature of our products and expertise. Importantly, Methode’s global manufacturing footprint will provide us the ability to meet our customers’ requested expansion into Asia and Europe” says Pacific Insight CEO Stuart Ross. “As part of Methode, we will be uniquely positioned to accelerate our innovations and, at the same time, strengthen and scale operations in a strategic manner. The size and strength of Methode will provide additional opportunities for all our stakeholders, including employees, customers, suppliers and local communities that we would not have had on our own.”
“This transaction is the right opportunity at the right time”
Cowan McKinney, chairman of Pacific Insight stated, “We believe this transaction is the right opportunity at the right time and provides our shareholders attractive value. Pacific Insight and Methode have a similar operating culture that is focused on excellence, customer service, and advanced technologies, making this acquisition a strategic fit for continued growth globally.
Methode’s president and CEO Don Duda said, “Pacific Insight’s innovation and technology in LED based ambient and direct lighting will expand Methode’s presence within the automotive interior, as well as augment our efforts in overhead console and other areas. Additionally, because of Pacific Insight’s reputation as an expert in lighting, we see the potential to bring Pacific Insight’s technology and expertise to our non-automotive customers as well. Finally, the addition of Pacific Insight will advance our objective to pursue strategic acquisitions where we can leverage our core competencies and provide an attractive value proposition for our shareholders.”
Pacific Insight Electronics is a global solutions provider offering design, development, manufacturing and delivery of electronic products and full service solutions to the automotive and commercial vehicle markets. Methode Electronics is an American multinational company headquartered in Chicago,, with engineering, manufacturing and sales operations in more than 14 locations in 10 countries.