Leyard buys Planar for $156m
Leyard, a provider of LED display products is to buy Planar Systems, a manufacturer of display and digital signage technology for $6.58 per share, which equates to a total cost of $156.8 million (€140.7m).
The transaction is subject to specified closing conditions, including approval by the shareholders of both Planar and Leyard, and antitrust and other government clearance.
The deal boosts Leyard’s existing range of LED display products and enables Leyard to expand its position outside China.
Planar’s board of directors has unanimously approved the merger agreement and has recommended its shareholders vote to approve the merger agreement.
Victor Li, chairman of Leyard, said, "We believe that Planar and Leyard complement each other and that this acquisition will create significant synergies. We intend to strongly support the continued growth of the Planar business, with standalone management, under the broader Leyard umbrella. This acquisition demonstrates Leyard’s ongoing commitment to expanding its global presence. The combination of Planar's strong customer relationships, respected product offerings, and history of innovation across the organization, together with Leyard's market leading position in emerging video wall technologies create inspiring solutions for customers."
Gerry Perkel, Planar’s president and CEO said, "I believe this transaction represents an outstanding opportunity for our shareholders, employees and customers. The acquisition by Leyard will provide our investors with a 42% premium to market based on our latest closing price, and will position the Planar business for continued growth and innovation.”
Closing of the deal, which is subject to specified conditions, is expected to happen in Q4 2015.