ATS Announces Acquisition of Intellectual Property Assets of Transformix
CAMBRIDGE, ON, Dec. 6, 2018 /CNW/ - ATS Automation Tooling Systems Inc. (TSX: ATA) ("ATS" or the "Company"), an industry-leading automation solutions provider, today announced that it has acquired substantially all of the intellectual property assets of Transformix Engineering Inc. ("Transformix").
Transformix's CNCAssembly system, based on its patented Rapid Speed Matching ("RSM") technology, provides a method of linking and synchronizing the movements of devices and tooling to enable faster and more efficient assembly systems. This enhanced capability is expected to provide higher speed, lower cost, energy efficient and more flexible assembly solutions for ATS' customers, while utilizing a smaller footprint. CNCAssembly is suitable for any application where high precision motion control is required and can serve a broad range of end markets.
"The addition of this important technology will complement our growing portfolio of linear mover technology products, which includes the best-in-class SuperTrakTM linear motion system," said Andrew Hider, CEO of ATS. "Our team is excited to combine ATS' engineering expertise with the CNCAssembly technology to develop innovative, market-leading solutions."
Total consideration included $10 million paid upon close from the Company's cash holdings and a future commission structure designed to align interests. The integration of Transformix's technology with ATS' is expected to take up to twelve months and the acquisition is not expected to have a material impact on the Company's near-term financial performance.
About ATS
ATS is an industry-leading automation solutions provider to many of the world's most successful companies. ATS uses its extensive knowledge base and global capabilities in custom automation, repeat automation, automation products and value-added services, including pre-automation and after-sales services, to address the sophisticated manufacturing automation systems and service needs of multinational customers in markets such as life sciences, chemicals, consumer products, electronics, food, beverage, transportation, energy, and oil and gas. Founded in 1978, ATS employs approximately 3,900 people at 21 manufacturing facilities and over 50 offices in North America, Europe, Southeast Asia and China. The Company's shares are traded on the Toronto Stock Exchange under the symbol ATA. Visit the Company's website at www.atsautomation.com.
Note to Readers: Forward-Looking Statements:
This news release of ATS contains certain statements that may constitute forward-looking information within the meaning of applicable securities laws ("forward-looking statements"). Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of ATS, or developments in ATS' business or in its industry, to differ materially from the anticipated results, performance, achievements or developments expressed or implied by such forward-looking statements. Forward-looking statements include all disclosure regarding possible events, conditions or results of operations that is based on assumptions about future economic conditions and courses of action. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances. ATS cautions you not to place undue reliance upon any such forward-looking statements, which speak only as of the date they are made. Forward-looking statements relate to, among other things: expected benefits of the Transformix technology, the expected timing of integration of the technology, and impact of integration on near-term financial performance. The risks and uncertainties that may affect forward-looking statements include, among others: risk that the technology does not provide the expected benefits or that market acceptance is other than expected; that the technology takes longer to integrate than expected or that cost of integration exceeds expectations; and other risks detailed from time to time in ATS' filings with Canadian provincial securities regulators. Forward-looking statements are based on management's current plans, estimates, projections, beliefs and opinions, and other than as required by applicable securities laws, ATS does not undertake any obligation to update forward-looking statements should assumptions related to these plans, estimates, projections, beliefs and opinions change.
SOURCE ATS Automation Tooling Systems Inc.
Sonya Mehan, Director, Investor Relations and Corporate Communications, 519-653-6500
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