American Industrial Partners To Acquire Flow International
Kent, Wash. (Manufacturing.net) — Flow International Corporation (Nasdaq: FLOW) has today announced that it has entered into a definitive agreement to be acquired by American Industrial Partners (AIP), a North American-based private equity firm, in a transaction valued at more than $200 million. AIR will acquire all of the outstanding shares of Flow common stock for $4.05 per share in cash. The Board of Directors at Flow has unanimously approved the agreement.
Flow is a developer and manufacturer of industrial waterjet machines for cutting and cleaning operations. It currently serves a number of industries, such as automotive, aerospace, job shop, surface preparation and more. It is headquartered in Kent, Wash., and employs approximately 600 in offices in Indiana, Canada, Brazil, Germany, UK, Spain, Italy, France, Taiwan, Japan and China.
The transaction is expected to close in early 2014, but is still subject to approval from Flow’s shareholders and regulatory bodies.
Charley Brown, President and CEO of Flow said, "I am pleased to announce this agreement, which maximizes value for all of our shareholders. This transaction represents a successful conclusion to our extensive 'strategic alternatives' investigation, during which the Company contacted many strategic and financial partners. In AIP, we have a partner with a strong reputation and proven record of success, who understands the potential of Flow's waterjet solutions and has the resources and expertise to help accelerate our growth plans. We believe this transaction appropriately recognizes the value of Flow's technology and customer relationships, while providing our stockholders with a meaningful cash premium for their investment."
Richard Hoffman, partner of AIP said, "We are excited about this agreement with Flow, which is known throughout its industry for its innovative waterjet technology. We have been impressed by the Company's capabilities and its strong relationships with its global customer base. We will work with the Flow management team to continue investing in the Company's technology to grow the waterjet share of the worldwide cutting market."