WEST WARWICK – Astro-Med Inc. will acquire Miltope Corp.’s line of rugged printers designed for use in commercial and military aircraft for approximately $6.7 million, the maker of specialty printers and data-acquisition systems announced Monday.
The transaction is expected to close on Jan. 21, said Astro-Med, and will include a manufacturing services agreement under which Miltope will continue to manufacture the printers for Astro-Med until Astro-Med transitions the manufacturing operations to its West Warwick facility.
“Miltope has been a leading supplier of ruggedized printers for the last fifteen years. The products have been consistently profitable and we expect the line to be accretive to our test and measurement product group earnings in the first quarter of ownership,” said Everett V. Pizzuti, CEO of Astro-Med. “The acquisition expands our penetration of the market for avionics printers, especially in the segment related to direct sales to the airlines.”
Miltope’s line of ruggedized printers are sold to aircraft manufacturers and contractors and directly to airlines around the world, said Astro-Med. The company will fund the $6.7 million cash purchase price with existing cash and borrowings.
“Miltope’s aviation market growth area is ruggedized computing and wireless products and services for in-flight entertainment and aircraft support,” said Julie Briggs, president and CEO of Miltope. “The divestiture of the airborne printer product line enables Miltope to focus our resources on the future core products.”