On Monday, General Electric (GE) agreed to pay $215 million for SBS Technologies, a producer of computers, chips and other electronic components, to increase its PC hardware offerings, Reuters reports.
GE’s GE Fanuc Embedded Systems unit is to pay $16.50 a share, or a premium of roughly 55 percent more than the $10.64 closing price of SBS Technologies on Friday, according to Reuters.
On Nasdaq, SBS shares were being traded at $16.08 Monday morning, up more than 50 percent from Friday’s closing price, Reuters reports.
The companies expect to finish the deal in the third quarter of 2006, according to Reuters.
Albuquerque, N.M.-based SBS Technologies builds computer and other electronic components for robots, aircraft and unmanned vehicles, according to Reuters.
GE Fanuc Embedded Systems, which produces automation computer products for industrial applications, is a division of GE Fanuc Automation, a joint project between GE and Japan’s Fanuc, Reuters reports.
“We believe the combined entity will be in a position to serve a variety of customers including those interested in communications, medical imaging, industrial automation and military systems,” said Maryrose Sylvester, GE Fanuc’s president and chief executive, according to Reuters.
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