ATS to Acquire a Systems Provider to the Radiopharmaceutical and Pharmaceutical Markets
December 21, 2018
ATS Automation Tooling Systems Inc has announced it has entered into a definitive agreement to acquire Comecer, a company operating in the design, engineering, manufacture and servicing of advanced aseptic containment and processing systems for the nuclear medicine and pharmaceutical industries.
The total cash purchase price for the acquisition will be 113 million Euro, subject to working capital and other adjustments. The Company will fund the acquisition primarily from cash on hand and its credit facilities. The transaction is expected to close in the first calendar quarter of 2019, subject to customary closing conditions.
For the 2018 calendar year, Comecer is expected to generate revenues of approximately 67 million Euro, with a low double-digit EBITDA margin. In fiscal 2020 (period beginning April 1,2019), ATS expects adjusted earnings per share accretion in the mid-single digit percentage range as a result of the transaction. Earnings per share are expected to be diluted in the short-term due to the incremental amortization of Order Backlog and other intangible assets as a result of business combination accounting adjustments. Excluding the impact of business combination accounting, the Company expects the return on invested capital associated with this acquisition to achieve double digits by year five post-acquisition.
Comecer was established in 1974, and today has approximately 320 skilled employees, the majority of whom work at its main production site in Castel-Bolognese, Italy. The main production site is the home of Comecer’s research and development centre. Comecer also has a technical and assembly centre in Joure, Netherlands, and sales and service offices in North America, Europe and Asia.
