JERSEY CITY, N.J., August 1, 2012 — Bel Fuse Inc. (NASDAQ:BELFA) (NASDAQ:BELFB) announced today that it has closed the acquisition of Fibreco Limited, Great Dunmow, England, a supplier of expanded beam fiber optic components for applications in military and broadcast communications and offshore energy exploration. Terms of the acquisition were not disclosed.
“We expect the acquisition of Fibreco to be immediately accretive to Bel’s earnings,” said Daniel Bernstein, Bel’s President and CEO. “This is the latest step in our strategy to focus on high value added, non-commodity components. Fibreco, which had trailing twelve month revenue of approximately $7 million, will join GigaCom Interconnect AB, which we acquired in March 2012, as part of Bel’s Cinch Connectors business. Fibreco’s fiber optic-based products complement Cinch’s copper-based products, increasing Cinch’s reach into aerospace, military, and industrial markets, while providing Fibreco with access to well-established sales channels it had not previously explored. The combination of Fibreco’s broad range of expanded beam fiber-based connector and cable products and GigaCom’s expanded beam EBOSATM technology creates an exciting new growth opportunity for our company.”
Stephens Inc. acted as financial advisor to Bel in this transaction.
Bel (www.belfuse.com) and its divisions are primarily engaged in the design, manufacture, and sale of products used in networking, telecommunications, high-speed data transmission, commercial aerospace, military, transportation, and consumer electronics. Products include magnetics (discrete components, power transformers and MagJack® connectors with integrated magnetics), modules (DC-DC converters, integrated analog front-end modules and custom designs), circuit protection (miniature, micro and surface mount fuses) and interconnect devices (micro, circular and filtered D-Sub connectors, passive jacks, plugs and high-speed cable assemblies). The Company operates facilities around the world.
Except for historical information contained in this press release, the matters discussed in this press release (including the statements regarding the impact of the acquisition on earnings and on the Company’s business and regarding growth opportunities) are forward looking statements that involve risks and uncertainties. Among the factors that could cause actual results to differ materially from such statements are: the market concerns facing our customers; the continuing viability of sectors that rely on our products; the effects of business and economic conditions; capacity and supply constraints or difficulties; product development, commercializing or technological difficulties; the regulatory and trade environment; risks associated with foreign currencies; uncertainties associated with legal proceedings; the market’s acceptance of the Company’s new products and competitive responses to those new products; the Company’s ability to integrate newly acquired businesses; and the risk factors detailed from time to time in the Company’s SEC reports. In light of the risks and uncertainties, there can be no assurance that any forward-looking statement will in fact prove to be correct. We undertake no obligation to update or revise any forward-looking statements.
Neil Berkman Associates
President & CEO