TSC Auto ID Technology America Inc. completed the acquisition of Printronix Inc. from Evercel, Inc. for $46 million.
February 31, 2016
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TSC Auto ID Technology America Inc. reached an agreement to acquire of Printronix Inc. from Evercel, Inc. (OTCPK:EVRC) for $28.1 million in stock on November 9, 2015. TSC Auto ID Technology Co. Ltd will issue 3 million shares as consideration. On completion, Printronix Inc. will operate as Printronix Auto-ID Inc. The transaction is scheduled to be completed by January 2016. Matt Young and Brad of CriticalPoint Partners and Euan Rellie, Justine Mannering, Simon Kavanagh, Kent Ng, Jordan Selleck and David Kim of BDA Partners acted as financial advisors for Printronix.
TSC Auto ID Technology America Inc. completed the acquisition of Printronix Inc. from Evercel, Inc. (OTCPK:EVRC) for $46 million on February 1, 2016. As per the terms, Evercel will receive approximately $15 million of net cash proceeds upfront from the sale with an additional amount payable at various stages over the next 2 years if TSC achieves certain sales milestones. If all such amounts are received, it is expected that the total proceeds to Evercel will be at least equal to the $18 million. In connection with the transaction, TSC retired all $28 million of Printronix bank debt. Printronix line matrix printer business and all other business operations not directly related to the thermal printer business were spun off into a new subsidiary of Evercel, Printronix, LLC. 30 employees were transitioned with the sale.
Evercel, Inc. is a holding company that oversees and manages subsidiary companies and portfolio investments. The Company's subsidiaries include Evercel Pioneer Holding Corp (Evercel Pioneer Holding), Evercel Holdings, LLC (Evercel Holdings), Zigg Holdings, LLC (Zigg Holdings), Zypher Holdings, LLC (Zephyr Holdings), Paper Ventures LLC and Current Technologies LLC. Evercel Pioneer Holding holds an investment in Pioneer Holding Corp, which owns Printronix Holding Corporation and its various global wholly owned subsidiaries (Printronix). Printronix provides multi-technology supply-chain printing solutions for the industrial, financial and transportation industries. Evercel Holdings holds investments, which the Company makes in publicly traded securities. Paper Ventures LLC holds an investment in Current Technologies LLC. Current Technologies LLC is engaged in the business of providing digital and social media influencer marketing services and campaigns to its customers.