Novanta to Acquire the RFID Assets of Trimble
Novanta Inc. has reached an agreement to acquire the assets of ThingMagic, a division of Trimble, for $20 million in cash. The transaction, subject to customary closing conditions, is expected to close in the first quarter of 2017.
ThingMagic, based in Woburn, Massachusetts, provides Ultra High Frequency (UHF) RFID Reader Modules and Finished RFID Solutions to original equipment manufacturers (OEMs) in the medical and advanced industrial markets. ThingMagic's business operations and product offering will be combined with the Company's JADAK business.
The transaction is expected to be immediately accretive to Novanta's operating cash flow and non-GAAP earnings per share on a full year pro forma basis. ThingMagic's actual revenue and earnings contribution to Novanta's 2017 financial results will depend on the ultimate date of the closing of the transaction, among other factors.
Headquartered in Syracuse, New York, JADAK is a market leading provider of embedded data collection and printing solutions for medical OEMs serving the healthcare and life science markets. JADAK has a wide array of data collection products and services, including machine vision, RFID, bar code scanning, and thermal printers that help customers solve unique inspection, tracking, scanning and documenting challenges. JADAK has established itself as a strategic partner for today's top healthcare companies through its flexible, customer centric approach and its wide range of capabilities.