Second, it became clear that we needed to lessen our reliance on the automotive industry and expand into
other industries that have a known and demonstrated need for the solutions we are most known for. That type of expansion would take a meaningful investment of time and resources to ensure it was executed well over the next several years.
So, when the opportunity arose for a business combination with a global strategic partner, like Atlas Copco, who recognized the long-term unrealized value
evident in our business, as reflected by a compelling offer at a significant premium, it became clear that the best possible outcome for Perceptron and its shareholders was to move forward with them.
Founded more than 150 years ago, Atlas Copco is a global industrial technology leader. Based in Stockholm, Sweden, they had approximately $11 billion in
sales last year. Atlas Copco is traded on the Stockholm Stock Exchange, with a market value of approximately $48 billion. Their recent acquisition of ISRA VISION, a global provider of machine vision solutions, made the addition of Perceptron to
broaden the portfolio compelling from both a market and a technical fit.
The deal is subject to CFIUS approval, regulatory approval in certain European
countries, shareholder approval in the U.S., and other customary closing conditions. We expect to close during the calendar fourth quarter of this year, 2020, and Im excited by the opportunity this presents for the Company and believe it is a
great outcome for our employees and shareholders alike.
Q&A
Thank you, and our first question is from the line of Greg Palm with Craig-Hallum Capital. Please proceed with your questions.
Greg Palm
Yes, thanks. I guess congrats on the
announcements here. Im not sure what all you can say at this point, I know eventually well get some more details, but in terms of the transaction, can you give us a little bit more detail on maybe the background or the process? I guess
really, specifically, what Im interested in, and I think others are, were there any other interested parties in here?
Jay Freeland
Yes, hey, good morning, Greg. Ill startIll go in reverse order. There were other interested parties, which would not be a surprise given the
technology portfolio that we have, and I think, you know, as we made the transition into my interim role and Bills, there were some parties who looked at it and said, Well, perhaps theres an opportunity here for a good combination
with Jay and Bill sitting in the leadership seats right now, and so I didthere were several parties who were interested in it, in the Company, and while Ill say that they were all interested parties, for me, and for the rest of the
Board, Atlas made a very compelling cash offer at a significant premium.