Teledyne closes $8.2B Flir acquisition
Thousand Oaks-based Teledyne Technologies completed its purchase of Flir Systems on May 13 when the stockholders of each company approved the $8.2 billion deal, Teledyne announced May 14.
Flir, a thermal imaging company based in Oregon with a large presence in Goleta, is now part of Teledyne’s Digital Imaging Segment and operates under the name Teledyne Flir.
The acquisition was announced Jan. 4 and has been pending since then as the companies navigated a web of government and shareholder approvals.
Flir’s final price tag was around $8.2 billion, or $57.40 per share. Teledyne paid around $3.7 billion in cash along with shares of its own stock worth about $3.9 billion, and also assumed Flir’s debts. Teledyne said it financed the cash portion of the payment at an average borrowing cost of around 2%.
Teledyne said it expects the acquisition to immediately increase its earnings when excluding transaction costs and purchase price accounting, and to increase its earnings overall for the full calendar year of 2022.
Teledyne shares were up about 3% in the hours after the announcement, trading at around $422 after opening at $413.28.
Teledyne also announced two executive promotions in its Digital Imaging Segment on May 14. Edwin Roks, the president of the segment, was promoted to executive vice president of Teledyne. He will continue to serve as president of the Digital Imaging Segment, which now includes Teledyne Flir. Teledyne executive Todd Booth was promoted to senior vice president and CFO for the acquired Teledyne FLIR group of businesses.
“We appreciate the support from our stockholders, and I am delighted to welcome Flir to the Teledyne family,” Teledyne Executive Chairman Robert Mehrabian said in a statement. “As a combined company, Teledyne Flir will uniquely provide a full spectrum of imaging technologies and products spanning X-ray through infrared and from components to complete imaging systems. Teledyne Flir will also provide a complete range of unmanned systems and imaging payload across all domains ranging from deep sea to deep space.”
