Ceradyne, Inc. to Acquire EaglePicher Boron LLC
June 27 2007 - 7:30AM
Business Wire
Ceradyne, Inc. (Nasdaq:CRDN) announced today that it has signed a
Purchase Agreement to acquire EaglePicher Boron LLC (�EP Boron�)
located in Quapaw, Oklahoma, for approximately $69.0 million in
cash. EP Boron was established in the early 1970�s to produce the
boron isotope B10. This isotope is a strong neutron absorber and is
used for both nuclear waste containment and nuclear power plant
neutron radiation control. EP Boron also produces complementary
chemical isotopes used in the normal operation and control of
nuclear power plants. Ceradyne anticipates that this acquisition
will further strengthen its entry, announced earlier last year,
into the nuclear waste containment and other nuclear power plant
related ceramic materials markets. The remaining boron isotope
produced by EP Boron is B11 which is used as an additive to
semiconductor grade silicon as a �doping� agent and in other
semiconductor processes where ultra high purity boron is required.
This growing market currently accounts for approximately 40% of EP
Boron sales. EP Boron sales were approximately $23.0 million in
their fiscal year ending November 30, 2006 with strong operating
margins. David Reed, Ceradyne�s President of North American
Operations, commented: �I am very excited about the pending
acquisition of EaglePicher Boron. It fits perfectly in Ceradyne�s
longer range strategy. We anticipate it will be accretive,
synergistic with our current efforts in the nuclear and
semiconductor markets, and meet our diversification objective. We
also believe that Ceradyne�s entrepreneurial culture and global
strategy will accelerate EaglePicher Boron�s growth. We anticipate
that their management will remain in place and become an integral
part of the Ceradyne team.� The closing is anticipated within 60
days, pending necessary regulatory approvals. Teleconference
Management will conduct a conference call to discuss the
EaglePicher Boron acquisition at 9:00 a.m. PDT on Thursday, June
28, 2007. To participate in the teleconference, please call
toll-free 877-717-3046 (or 706-634-6364 for international callers)
approximately 10 minutes prior to the start of the call. One may
also listen to the teleconference live via the Internet at
www.ceradyne.com or www.earnings.com. For those unable to attend,
these Web sites will host an archive of the call. A telephone
playback will be available beginning at noon PDT on June 28 through
noon PDT on June 30. The playback can be accessed by calling
800-642-1687 (or 706-645-9291 for international callers) and
providing Conference ID 5631374. Ceradyne develops, manufactures,
and markets advanced technical ceramic products and components for
defense, industrial, automotive/diesel, and commercial
applications. Additional information about the Company can be found
at www.ceradyne.com. Except for the historical information
contained herein, this press release contains forward-looking
statements regarding future events and the future performance of
Ceradyne that involve risks and uncertainties that could cause
actual results to differ materially from those projected. Words
such as �anticipates,� �believes,� �plans,� �expects,� �intends,�
�future,� and similar expressions are intended to identify
forward-looking statements. These risks and uncertainties are
described in the Company�s Annual Report on Form 10-K for the
fiscal year ended dated December 31, 2006 and its Quarterly Reports
on Form 10-Q as filed with the U.S. Securities and Exchange
Commission.
Ceradyne, Inc. (MM) (NASDAQ:CRDN)
Historical Stock Chart
From Sep 2024 to Oct 2024
Ceradyne, Inc. (MM) (NASDAQ:CRDN)
Historical Stock Chart
From Oct 2023 to Oct 2024