Siemens set to acquire Canadian network supplier RuggedCom
By Alyssa Dalton
January 31, 2012 – Siemens has entered into an agreement with RuggedCom Inc., a Canadian network supplier, to acquire all of the latter’s issued and outstanding common shares. The takeover bid is for C$33.00 per common share in cash, or a total transaction value of approximately C$382 million. Subject to the satisfaction or waiver of certain limited conditions, Siemens expects to take up shares under the offer in the second half of March 2012.
“RuggedCom’s portfolio would be an ideal addition to our range of industrial Ethernet communication products, improving our industrial-quality router and switch offering. In addition, the acquisition would improve our footprint in the North America and the Asia-Pacific region,” said Anton S. Huber, CEO of the Siemens Industry Automation Division. Huber also indicated that all of RuggedCom’s and Siemens’ product lines would be developed further in the next few years.
“The acquisition of RuggedCom further demonstrates Siemens’ commitment to Canada,” continued Robert Hardt, president and CEO of Siemens Canada. “We are preparing to join forces and work closely with RuggedCom to ensure a smooth transition for employees, customers and all stakeholders.”
With approximately 360 employees, RuggedCom, headquartered in Concord, Ont., is a provider of industrial-quality Ethernet communication products and network solutions for use under rough environmental conditions.
Siemens’ offer will be made through a wholly-owned subsidiary and is expected to be mailed early next month.