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e2v technologies acquires AnaFocus
e2v technologies has agreed to acquire Seville-based Innovaciones Microelectronicas SL, trading as AnaFocus, a Spanish designer and developer of CMOS imaging sensors for up to €34.2 million. AnaFocus designs and develops high-performance, high-quality CMOS image-sensors and vision-systems for the industrial, professional, scientific, medical and high-end surveillance markets.
AnaFocus will become an integral part of the machine vision business within e2v’s fast-growing High Performance Imaging division, which grew by 26 per cent last year and will fit well into the existing infrastructure of the division. It accelerates e2v’s CMOS development road-map and deepens e2v’s reach in the professional imaging markets.
The company’s custom sensor design capabilities, expertise in ‘vision system-on-a-chip development’, and growing portfolio of products, complements e2v’s established position in machine vision markets. The machine vision markets have grown significantly in recent years and are anticipated to grow by around 10 per cent CAGR through to 2018.
e2v technologies’ Group CEO, Steve Blair, said: “AnaFocus adds technology, people and customers to our machine vision business. It strengthens our position in the market, bringing to e2v a successful management team with deep technology capabilities and close relationships with customers that complement e2v’s relationships.
“The strength of the AnaFocus team, and the e2v worldwide sales and customer support channels they can now access, will help us to accelerate our opportunities in this fast-growing business. We see immediate opportunities to apply the technical capabilities of AnaFocus to provide enhanced offerings to our joint customers. I am delighted we are making this acquisition and I am pleased the AnaFocus team are joining us.”
In the calendar year to 31 December 2014 AnaFocus is expected to generate sales of approximately €11 million at a margin in line with those typical in this fast-growing market segment and it has good order book coverage. The acquisition is expected to be marginally earnings accretive in the financial year ending 31 March 2015 and earnings accretive in the financial year ending 31 March 2016. The transaction is consistent with e2v’s stated ambition of accelerating organic growth in its more rapidly expanding businesses with closely aligned acquisitions.
The initial cash purchase price of €29.2 million is made up of a €26.5 million cash consideration for the business, and assumed net debt of €2.7 million. The AnaFocus management team is remaining with the business and can achieve an earn-out of up to €5 million in cash, dependent on value generating ‘stretch’ integration targets including revenue growth. e2v expects the acquisition to complete during September 2014. The cash consideration will be funded from e2v’s existing resources, including its new £90 million bank facility.