TT Electronics to acquire Torotel, expanding presence in US aerospace and defense market
TT agrees to acquire Torotel, a US-based power and electromagnetic manufacturer
Woking, UK, 17 September 2020 - TT Electronics, a global provider of engineered electronics for performance critical applications, today announces it has agreed to acquire Torotel, a US-based designer and manufacturer of high-reliability power and electromagnetic assemblies and components for the aerospace and defense markets. The acquisition is one of several, recent demonstrations of TT’s commitment to continued investment in power management devices for the aerospace and defense market.
TT has agreed to acquire Torotel for $43.4 million. The acquisition is subject to approval by Torotel’s shareholders and US regulatory conditions and is expected to close in Q4 2020, at which point the business will be fully integrated into TT as a wholly-owned subsidiary.
The acquisition will broaden TT’s power electronics capabilities and expanding US footprint following on from the recently acquired Covina, California-based business unit from Excelitas Technologies. Torotel will extend TT’s list of blue-chip US aerospace and defense customers, providing access to growth programs with sole-sourced positions on major platforms. TT is committed to investing in the business to further improve the business’ growth prospects and engineering capability.
Richard Tyson, CEO, TT Electronics said:
“We are really excited about the acquisition of Torotel, a business we have been tracking for some time. It is an excellent fit and complementary to TT’s existing US power electronics business, strengthening our position in critical defense applications. We look forward to welcoming the Torotel team into the TT group.”
Michael Leahan, EVP, TT Electronics Power Solutions said:
“Torotel is a clear fit with TT’s strategy to build leading positions in the aerospace and defense markets where the proliferation of electronics is driving demand for our custom power management and conversion systems. We are excited to welcome Torotel employees and customers to TT, and remain committed to providing our customers with the best service, products and value available.”
About TT Electronics plc
TT Electronics is a global provider of engineered electronics for performance-critical applications.
The company operates in industries where there are structural growth drivers, working with market-leading customers primarily in aerospace and defense, medical and industrial sectors. Products designed and manufactured include sensors, power management devices and connectivity solutions. TT has design and manufacturing facilities including in the UK, US, Mexico, Sweden and Asia.
Founded in 1956, Torotel is a leading designer and manufacturer of custom magnetics products primarily for the aerospace and defense industries. Torotel is headquartered in Olathe, Kansas and has operating facilities in Olathe and Hatfield, Pennsylvania. For additional information, visit Torotel’s website at http://www.torotelproducts.com/
For more information about TT Electronics visit www.ttelectronics.com.
Securities and Exchange Commission filings
In connection with the proposed acquisition, Torotel will file relevant materials with the Securities and Exchange Commission (the “SEC”), including a preliminary and definitive proxy statement. TOROTEL’S STOCKHOLDERS ARE URGED TO READ THE DEFINITIVE PROXY STATEMENT (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) CAREFULLY WHEN IT BECOMES AVAILABLE BEFORE MAKING ANY VOTING OR INVESTMENT DECISION WITH RESPECT TO THE PROPOSED TRANSACTION BECAUSE IT WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION AND THE PARTIES TO THE PROPOSED TRANSACTION. Stockholders of Torotel will be able to obtain a free copy of these documents, when they become available, at the website maintained by the SEC at www.sec.gov or free of charge at www.torotelproducts.com
Torotel and its directors, executive officers and other members of its management and employees, under SEC rules, may be deemed to be participants in the solicitation of proxies of Torotel stockholders in connection with the proposed acquisition. Stockholders of Torotel may obtain more detailed information regarding the names, affiliations and interests of certain of Torotel’s executive officers and directors in the solicitation by reading Torotel’s most recent Annual Report on Form 10-K, which was filed with the SEC on July 28, 2020 and the proxy statement for Torotel’s 2020 annual meeting of stockholders, which was filed with the SEC on August 27, 2020. These documents are available free of charge at the SEC’s website at www.sec.gov or by going to Torotel’s Investor Relations website at www.torotelproducts.com. Information concerning the interests of Torotel’s participants in the solicitation, which may, in some cases, be different than those of Torotel’s stockholders generally, will be set forth in the definitive proxy statement relating to the proposed transaction when it becomes available.
Neither TT Electronics, nor any of its directors, officers, employees, agents, affiliates or advisers shall constitute participants in the solicitation and do not take any responsibility for the contents of Torotel’s preliminary or definitive proxy statements (including any amendments or supplements thereto), the contents of Torotel’s SEC filings or Torotel’s website. Neither the content of Torotel’s website nor any website accessible by hyperlinks on Torotel’s website is incorporated in, or forms part of, this Announcement.