Scientific Technologies Incorporated (Fremont, Calif.), a North American provider of automation safeguarding products, announced that it has completed its previously announced merger with a subsidiary of Japan-based Omron Corporation (Omron). STI shareholders will receive $10.67 per share in cash as a result of the merger, and STI will cease to be a publicly traded company.
Also as a result of the merger and related transactions, Omron acquires STI’s Safety Products Group (SPG) business and STI sells its Automation Products Group (APG) business to Automation Products Group Inc., a new company formed by members of the Lazzara family. The total transaction values the equity of the Company at approximately $110.8 million.
"We are pleased that our shareholders have approved this transaction and that the merger is now complete," said Joseph J. Lazzara, president and CEO of STI. "We believe this transaction provides significant liquidity to our shareholders while providing exciting new platforms of opportunity for our customers and employees."
"The company’s Safety Products Group business is now part of a larger, global company and will operate under the name of Omron Scientific Technologies, Inc.," said Lazzara. "We believe this transaction will create a global leader in the industrial safety market, with the resources of a world-class organization such as Omron and the North American automation safety expertise of STI."
The operations of STI's Safety Products Group will remain in Fremont, California.
Lazzara said the company’s APG business will continue to operate out of its Logan, Utah, facilities as the Automation Products Group Inc. under private ownership of the Lazzara family.