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|Standex Acquires I R International, Inc.; Transaction Produces North and South American Market Leader in Texturizing and Industrial Engraving|
SALEM, N.H.--(BUSINESS WIRE)--June 24, 2003--Standex International Corporation (NYSE:SXI) announced today that it has purchased substantially all of the business assets and intellectual property of privately held I R International, Inc., a producer of engraved embossing rolls, plates and Gravere cylinders located in Richmond, Virginia. In addition, Standex has agreed to acquire Dornbusch & cia located in Sao Paolo, Brazil, from a corporation owned by the owners of I R International, Inc., subject to various governmental approvals. Consideration for the acquisition was paid in cash and Standex shares. Other terms of the acquisition were not disclosed. I R International and Dornbusch had combined revenues of $16 million in 2002. The Company expects the acquisition to be accretive in its first full year.(1)
"Standex's acquisition strategy is focused on companies that have highly complementary lines of engineered products and that open new markets for our existing businesses," said Roger Fix, President and CEO of Standex. "The acquisition of I R International and Dornbusch is a perfect example of this strategy. For example, each of these companies holds number one or number two positions in key markets. We also have broadened our geographic presence as we pursue our engraving strategy to supply textures to multinational firms. Specifically, with this acquisition, we will be better able to penetrate the growing South American market."(1)
I R International will become a member of the Standex Engraving Division. The Standex Engraving Division operates 21 worldwide plants with four licensees and is the major industrial engraving company to supply textures for automotive parts, architectural products, tissue and toweling, electronic casings and consumer products. Over the past several years Standex has made a significant investment in developing market leading technology that allows Standex Engraving to digitize existing grains and develop new grains through computer driven technology. By utilizing laser engraving, computer rendering and other technology driven surface finishing processes, Standex Engraving has been able to reduce the cost and time required to place grains and texturized finishes on molds and rolls used by its customers. This new technology has significantly reduced the design and production time for texturizing, improved the quality and appearance of the textures and reduced costs.
"We have long viewed I R International as a strong competitor," said Karl Shaw, President of Standex Engraving. "Like Standex, they combine traditional engraving techniques with state-of-the-art laser equipment to produce engraved embossing rolls and plates. They are particularly strong in the automotive and flooring markets. The addition of I R International and Dornbusch into our engraving division gives us significant expertise and technology that we expect will greatly aid our efforts to penetrate new markets worldwide."(1)
About Standex International Corporation
Standex International Corporation is a multi-industry manufacturer in three broad business segments: Food Service, Industrial and Consumer with operations in the United States, Europe, Canada, Australia, Singapore and Mexico.
(1) These statements are forward looking and involve certain risks and uncertainties and assumptions. Factors affecting outcomes and results include changes in economic growth in the domestic and international markets, failure to complete the acquisition of IR International and its Dornbusch & cia division and successfully integrate those businesses into Standex Engraving operations, failure to achieve the Company's acquisition, disposition and restructuring goals in the anticipated timeframes, competitor activities including pricing pressures or marketing of new products and significant changes in domestic and international fiscal policies or tax legislation.
CONTACT: Standex International Corporation Daniel C. Potter, 603/893-9701
SOURCE: Standex International Corporation