Advanced Energy buys medical power systems provider
DENVER — Advanced Energy Industries Inc. (Nasdaq: AEIS) has entered into an agreement to buy SL Power Electronics Corp.
AE, a provider of precision power conversion, measurement and control solutions, was formerly headquartered in Fort Collins. While retaining an engineering and production facility in Northern Colorado, its HQ is now in Denver.
SL Power had been owned by Steel Partners Holdings L.P. (NYSE: SPLP). The acquisition gives AE a larger footprint in the medical power solution industry.
SL Power is headquartered in Calabasas, California. According to a press statement, SL has more than 60 years in the power industry and “offers leading medical and advanced industrial original equipment manufacturers an extensive portfolio of standard, modified standard and custom solutions with superior performance that meet the stringent requirements of mission critical applications.”
“The addition of SL Power expands our offerings for industrial and medical applications,” Steve Kelley, president and CEO of Advanced Energy, said in a written statement. “I believe SL Power’s strong customer base, complementary product portfolio, and highly skilled team make it an ideal fit for Advanced Energy.”
According to the press statement, “AE will pay a base purchase price of $144.5 million, on a cash-free, debt-free basis and subject to a customary adjustment for working capital as of the closing. Advanced Energy expects to finance the transaction with currently available cash.”
The AE board has approved the transaction. The deal is expected to close in the second quarter of 2022, subject to closing conditions.