Wavetek to Take Over Datron for $15.8 Million
Wavetek Corp. has agreed to acquire Datron International PLC, a British manufacturer of electronic test and measurement equipment, in a deal valued at $15.8 million, the companies said Friday.
Wavetek, which reported a $733,000 net profit and $18.8 million in revenue for the second quarter ended March 31, will pay cash for Datron’s publicly traded stock, according to President John W. Battin. Wavetek expects to complete the deal within two months, Battin said.
Wavetek last month said that it was considering acquiring Datron.
Datron, based in Norwich, England, has operations in Stuart, Fla., and Fremont, Calif. It manufactures digital multimeters, calibrators, wave-form analyzers and pulse generators for military and commercial markets. It reported $15.5 million in 1986 sales.
San Diego-based Wavetek, with operations in California, Florida, Indiana, New York, Washington and abroad, manufactures electronic test and measurement equipment and related products.
There will be some work force consolidations after the acquisition is completed, according to Battin.
Wavetek’s German sales force previously acted as Datron’s sales agent in Germany, and Wavetek has had an ongoing joint technical development program with Datron, Battin said. Datron will be an independent subsidiary of Wavetek when the deal is completed, Battin said.
Wavetek has acquired 70% of Datron’s publicly traded stock and hopes to acquire the remainder within two months, Battin said.
Wavetek will continue to look for “appropriate” acquisitions, according to Battin, but the company’s “first priority is to successfully digest this acquisition.”