HOLLYWOOD, Fla. & MIAMI & BALLSTON SPA, N.Y.--(BUSINESS WIRE)--
HEICO Corporation (NYSE: HEI.A) and (NYSE: HEI) today announced that its Electronic Technologies Group acquired Specialty Silicone Products, Inc. (“SSP”) in an all cash transaction.
HEICO stated that it expects the acquisition to be accretive to its earnings in the year following the purchase. Further financial terms and details were not disclosed.
Ballston Spa, NY-based SSP is a leading designer and manufacturer of silicone materials for a variety of demanding applications, used in aerospace, defense, research, oil and gas, testing, pharmaceuticals and other markets. SSP will be part of HEICO’s Electronic Technologies Group, which is comprised of businesses that specialize in the design and manufacture of highly-engineered, mission-critical products that must successfully operate in the harshest environments.
Since SSP’s founding in 1989, the company has been a consistent innovator and pioneer within the silicone manufacturing industry. SSP employs approximately 70 team members and operates out of one, 52,000 square foot, state-of-the-art facility in Ballston Spa, NY.
As is customary with the vast majority of HEICO’s previous acquisitions, SSP’s entire management team will remain with the company in their pre-existing positions and no material staff turnover is expected post-acquisition.
Laurans A. Mendelson, Chairman and Chief Executive Officer of HEICO Corporation, along with Victor H. Mendelson, HEICO’s Co-President and Chief Executive Officer of the Electronic Technologies Group, jointly commented, “We are thrilled to partner with SSP. We admire SSP’s commitment to excellence and focus on customer needs. It became apparent to us throughout our due diligence and negotiations that our two companies' cultures and people could not be a better fit. We welcome the entire SSP team to the HEICO family.”
Patricia Babbie-Reo, Ted Taylor and Fred Sober, SSP's founders and current shareholders, remarked: “Though we had a variety of suitors as we were contemplating a sale, we felt an immediate connection with the HEICO staff and truly believe that SSP has found a great, long-term home, with similar values and culture.”
Paul DiCaprio, SSP’s President said, “We look forward to our next chapter of excellence and growth with our new partners. We are excited to join the HEICO team and look forward to working with them.”
HEICO Corporation is engaged primarily in the design, production, servicing and distribution of products and services to certain niche segments of the aviation, defense, space, medical, telecommunications and electronics industries through its Flight Support Group and its Electronic Technologies Group. HEICO’s customers include a majority of the world’s airlines and overhaul shops, as well as numerous defense and space contractors and military agencies worldwide, in addition to medical, telecommunications and electronics equipment manufacturers. For more information about HEICO, please visit our website at .
Certain statements in this press release constitute forward-looking statements, which are subject to risks, uncertainties and contingencies. HEICO's actual results may differ materially from those expressed in or implied by those forward-looking statements as a result of factors including, but not limited to: lower demand for commercial air travel or airline fleet changes or airline purchasing decisions, which could cause lower demand for our goods and services; product specification costs and requirements, which could cause an increase to our costs to complete contracts; governmental and regulatory demands, export policies and restrictions, reductions in defense, space or homeland security spending by U.S. and/or foreign customers or competition from existing and new competitors, which could reduce our sales; our ability to introduce new products and services at profitable pricing levels, which could reduce our sales or sales growth; product development or manufacturing difficulties, which could increase our product development costs and delay sales; our ability to make acquisitions and achieve operating synergies from acquired businesses; customer credit risk; interest, foreign currency exchange and income tax rates; economic conditions within and outside of the aviation, defense, space, medical, telecommunications and electronics industries, which could negatively impact our costs and revenues; and defense budget cuts, which could reduce our defense-related revenue. Parties receiving this material are encouraged to review all of HEICO's filings with the Securities and Exchange Commission, including, but not limited to filings on Form 10-K, Form 10-Q and Form 8-K. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.
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