Israeli company Matan Digital Printers has been sold for $50 million to US company Electronics for Imaging (EFI) (Nasdaq: EFII). Located in Rosh HaAyin, Matan Digital develops super-wide format printers for signs, banners, billboards, and other applications. Matan Digital was founded in 1992, and has 70 employees. EFI, founded by the late Efi Arazi, is also active in the digital printer field, has a $2 billion market cap.
"This acquisition gives EFI an even broader range of products to help our customers capture important opportunities in super-wide format display graphics printing," said EFI CEO Guy Gecht, and added, "Matan’s strong R&D capability will further accelerate EFI’s inkjet innovation." Former Matan Digital president and CEO Hanan Yosefi said, "Our technology and - most importantly - our customers have a great future ahead with EFI in terms of ongoing support and innovation."
EFI’s acquisition was an all-cash transaction in which EFI paid the shareholders of Matan approximately $29 million to acquire all of Matan’s outstanding shares. Under the purchase agreement, EFI also assumed approximately $5 million of Matan’s debt, and deposited $14 million into escrow to serve as security for EFI’s benefit for the indemnification obligations of the Matan shareholders.
EFI was represented in the deal by Advocates Barry Levenfeld, Benjamin Sandler, Ofir Levy, and Ira Burshtein of Yigal Arnon & Co. Matan Digital was represented in the deal by Advocates Ashok Chandrasekhar and Ido Zemach of Goldfarb Seligman.
Published by Globes [online], Israel business news - www.globes-online.com - on July 2, 2015
© Copyright of Globes Publisher Itonut (1983) Ltd. 2015