MOCON, Inc. (NasdaqGM:MOCO) today announced that it has closed
the acquisition of PBI-Dansensor A/S (Dansensor) of Ringsted, Denmark, a
privately-held leading manufacturer of specialized instrumentation for
Modified Atmosphere Packaging (MAP) of foods, beverages,
pharmaceuticals, and other perishable items. The transaction broadens
MOCON’s product portfolio in the area of package testing and safety
equipment.
MOCON acquired 100 percent of the equity interests of Dansensor for DKK
112,000,000 (approximately $20,000,000) with two-thirds of that amount
paid in cash at closing, and the remainder to be paid over four years
pursuant to a seller note. To help finance the acquisition, MOCON
executed a loan agreement with Wells Fargo Bank, N.A. which provides for
a combination of a secured revolving credit line and term debt totaling
$8.5 million.
MOCON had previously announced on March 12, 2012 that it had signed a
definitive agreement to acquire Dansensor. Dansensor’s MAP product line
which consists of gas mixers, analyzers and leak detection equipment,
dovetails nicely with MOCON’s package testing instruments to help our
customers safely extend the shelf-life of their products.
About MOCON
MOCON is a leading provider of detectors, instruments, systems and
consulting services to research laboratories, production facilities, and
quality control and safety departments in the medical, pharmaceutical,
food and beverage, packaging, environmental, oil and gas and other
industries worldwide. See www.mocon.com
for more information.
Forward-looking statements
This press release contains forward-looking statements that are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements include
statements that can be identified by words such as “will,” “may,”
“expect,” “believe,” “anticipate,” “estimate,” “continue,” or other
similar expressions. All forward-looking statements speak only as of the
date of this press release. MOCON undertakes no obligation to update or
revise any forward-looking statement, whether as a result of new
information, future events or otherwise. In addition to the risks and
uncertainties of ordinary business operations and conditions in the
general economy and the markets in which the Company competes, there are
important factors that could cause actual results to differ materially
from those anticipated by the forward-looking statements made in this
press release. These factors include, but are not limited to, the
reduction in MOCON’s cash to pay acquisition price, the effect of
covenants in its debt agreements with Wells Fargo, failure to achieve
the revenues, cost savings, earnings, growth prospects and any or other
synergies expected from the acquisition or delays in realization
thereof; delays and challenges in integrating the businesses of MOCON
and PBI Dansensor; operating costs and business disruption during the
pendency of and following the acquisition; competition and technological
change, worldwide economic and political stability, setbacks in product
development programs, order cancellations, slower-than-anticipated
customer acceptance of new products, dependence on certain key
industries, risk associated with the Company's acquisition strategy and
international operations, and other factors set forth in the Company’s
Annual Report on Form 10-K for the year ended December 31, 2011 and
other documents MOCON files with or furnishes to the Securities and
Exchange Commission.
