Standex International Completes Acquisition of Amran, LLC and Narayan Powertech Private Limited

Standex International Corporation (NYSE:SXI) has announced the successful acquisition of two entities, Amran, LLC and Narayan Powertech Private Limited, in separate transactions. The acquisitions were completed on October 28, 2024.

In the first transaction, Standex acquired Amran, LLC, a Texas limited liability company. The purchase was made through a Securities Purchase Agreement by which Standex acquired 100% of the outstanding membership interests of Amran for a total consideration of $180.6 million. The consideration included a cash payment of $153.51 million and the issuance of 152,299 shares of Standex common stock for the remaining interest in Amran.

Simultaneously with the Amran acquisition, Standex, through its subsidiary Mold-Tech Singapore PTE LTD, acquired 90.1% of the capital stock of Narayan Powertech Private Limited, a company incorporated under the laws of India. This was done through a Securities Purchase Agreement, with an aggregate cash payment of $253.97 million. The remainder of the capital stock of Narayan is expected to be acquired pending regulatory approval from the Reserve Bank of India.

The agreements related to the acquisitions contain provisions for post-closing cash adjustments based on a review process after the closing date. They also include customary representations, warranties, and covenants typical for agreements of this nature. Standex is indemnified for breaches of representations and covenants under these agreements, with a portion of the purchase price being held in escrow by a third-party agent.

Concurrently with these acquisitions, Standex entered into a Credit Agreement, under which Term Loan Lenders advanced a $250 million term loan to fund a portion of the acquisitions. The Term Loan carries a variable interest rate and matures on October 27, 2025. The borrowings under this agreement are guaranteed by certain Standex subsidiaries.

The completion of these acquisitions expands Standex’s portfolio and strengthens its position in the market. The company anticipates filing the required financial statements and pro forma financial information related to these transactions in the coming days.

For more detailed information on the agreements and transactions, please refer to the complete texts of the respective agreements filed as Exhibits to Standex’s Current Report on Form 8-K.

This signifies a strategic move by Standex International Corporation to enhance its business operations and drive future growth opportunities in alignment with its corporate objectives.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Standex International’s 8K filing here.

About Standex International

Standex International Corporation, together with subsidiaries, engages in the manufacture and sale of various products and services for commercial and industrial markets in the United States and internationally. It operates through five segments: Electronics, Engraving, Scientific, Engineering Technologies, and Specialty Solutions.