Allied Motion Technologies Inc. (Nasdaq: AMOT) (“Allied Motion,” “Allied” or the “Company”), a designer and manufacturer that sells precision and specialty controlled motion products and solutions to the global market, announced that it has acquired Dynamic Controls Group (“Dynamic Controls”), a wholly owned subsidiary of Invacare Corporation, a market-leading designer and manufacturer of equipment for the medical mobility and rehabilitation markets. The transaction was completed on March 7, 2020.
“This acquisition is a clear demonstration of executing the One Allied strategy to provide innovative, fully integrated controlled motion solutions for our customers. Dynamic Controls brings strong leadership and a very experienced electronics and software engineering design team that provides market leading electronic control solutions for the medical mobility and rehabilitation markets. Their product suite and solutions will further strengthen our medical market position around patient mobility and rehabilitation, as well as enable us to further develop higher level solutions with embedded electronics across our other major served markets. Importantly, the acquisition also expands Allied’s Global Electronics Team and provides additional resources which can be leveraged across all our markets,” commented Dick Warzala, Chairman and CEO.
With the acquisition of Dynamic Controls, Allied continues to build out its ability to leverage controlled motion system solutions in a wide range of markets. The integration of multiple system elements that are designed and manufactured by Allied, including controls, motors, drives, feedback and gearing, leverages a strength of the Company, while improving the overall value proposition for its customers. Allied further enhances the value proposition through its expanding global manufacturing footprint and its ability to service customers from within the geographic markets they currently reside.
Matt Monaghan, Chairman, President and Chief Executive Officer of Invacare Corporation said, “We believe closer integration of Allied Motions’ electromotive technologies with Dynamic Controls electronic control capabilities will help us accelerate technical advances in power wheelchairs. We expect this partnership can deliver on many opportunities that will enable Invacare’s products to continue to improve patient care. We look forward to working closely with Allied Motion to discover new levels of innovation in patient mobility and respiration.”
Mr. Warzala concluded, “Post the acquisition, we are excited to work closely with Invacare to provide them with leading-edge technology/solutions that will accelerate their ability to focus on their core strengths and further improve patients’ quality of life.”
Founded in 1973, Dynamic offers a comprehensive line of high functionality electronic control systems for power mobility products to customers in North America, Europe and the Asia Pacific region. Its products include controllers for power wheelchairs and scooters, and ancillary product and service lines such as programming and diagnostic applications as well as printed circuit boards. Their well-established customer base consists of leading mobility brands, large OEMs and contract manufacturers.
Dynamic has approximately 200 employees with facilities in Christchurch, NZ, Kidderminster, UK, and Suzhou, ROC.
About Allied Motion Technologies Inc.
Allied Motion (Nasdaq: AMOT) designs, manufactures and sells precision and specialty controlled motion products and solutions used in a broad range of industries within our major served markets, which include Vehicle, Medical, Aerospace & Defense, and Industrial. Headquartered in Amherst, NY, the Company has global operations and sells into markets across the United States, Canada, South America, Europe and Asia.
Allied Motion is focused on controlled motion applications and is known worldwide for its expertise in electro-magnetic, mechanical and electronic motion technology. Its products include brush and brushless DC motors, brushless servo and torque motors, coreless DC motors, integrated brushless motor-drives, gear motors, gearing, modular digital servo drives, motion controllers, incremental and absolute optical encoders, active (electronic) and passive (magnetic) filters for power quality and harmonic issues, and other controlled motion-related products.
The Company’s growth strategy is focused on being the controlled motion solutions leader in its selected target markets by leveraging its “technology/know how” to develop integrated precision solutions that utilize multiple Allied Motion technologies to “change the game” and create higher value solutions for its customers. The Company routinely posts news and other important information on its website at http://www.alliedmotion.com/.
Safe Harbor Statement
The statements in this news release that relate to future plans, events or performance are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate, or imply future results, performance, or achievements. Examples of forward-looking statements include, among others, statements concerning Dynamic’s business complementing and expanding Allied Motion’s existing operations; growth prospects; other potential benefits and synergies of the transaction; statements the Company makes regarding expected operating results, anticipated levels of capital expenditures, the Company’s belief that it has sufficient liquidity to fund its business operations, expectations regarding income tax rates and expectations with respect to the conversion of backlog to sales. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on the Company’s current beliefs, expectations and assumptions regarding the future of the Company’s business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Company’s control. The Company’s actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, general economic and business conditions, conditions affecting the industries served by the Company and its subsidiaries, conditions affecting the Company’s customers and suppliers, competitor responses to the Company’s products and services, the overall market acceptance of such products and services, the pace of bookings relative to shipments, the ability to expand into new markets and geographic regions, the success in acquiring new business, the impact of changes in income tax rates or policies and other factors disclosed in the Company’s periodic reports filed with the Securities and Exchange Commission. Any forward-looking statement speaks only as of the date on which it is made. New risks and uncertainties arise over time, and it is not possible for us to predict the occurrence of those matters or the manner in which they may affect us. The Company has no obligation or intent to release publicly any revisions to any forward looking statements, whether as a result of new information, future events, or otherwise.