ORLANDO, Fla., Oct. 2, 2019 /PRNewswire/ -- VOXX International
Corporation (NASDAQ: VOXX), a leading manufacturer and distributor
of automotive and consumer technologies for global markets,
announced today that on September 30,
2019, it closed on the sale of its Pulheim real estate and
received net proceeds of approximately $9.7
million (based on the Euro to US dollar conversion rate at
that time) after payment of the outstanding mortgage and
transactional costs.
Additionally, on September 30,
2019, VOXX received a notice of rescission from HF Company
with respect to its previously announced definitive agreement to
sell VOXX German Accessory Holdings GmbH.
The Company previously announced on June
12, 2019 that it had reached a definitive agreement to sell
VOXX German Accessory Holdings GmbH, which comprised the operations
of Oehlbach Kabel GmbH ("Oehlbach") and Schwaiger GmbH
("Schwaiger") to HF Company for approximately $19.0 million, based on the Euro to US dollar
conversion at that time.
The notice of rescission received by the Company was due to HF
Company's inability to secure bank financing for the implementation
of the transaction. As such, VOXX International Corporation will
retain the Oehlbach and Schwaiger operations and will continue to
market and distribute their diverse and innovative accessory
offerings. Further, the Company believes that based on the changes
previously announced to realign these units into one operating
entity, it will be in a stronger position to improve bottom-line
performance of an already profitable unit. Additionally, the
rescission notice received includes the purchase option by VOXX
German Holdings GmbH to HF Company relating to the real estate
leased by Schwaiger.
Pat Lavelle, President and Chief
Executive Officer of VOXX International Corporation, stated, "We
are pleased to close on the sale of our real property in Pulheim and strengthen our
balance sheet. We took action in fiscal 2019 to reorganize our
international business and consolidate the operations of Schwaiger
and Oehlbach into one operating entity. While the proposed
accessories transaction would have further strengthened our balance
sheet, we are satisfied to keep these strong European brands as
they have been consistent earnings contributors in the past, and we
expect that will continue in the future. Our strategy to
potentially divest and acquire assets remains intact and our #1
focus remains to position VOXX for improved and sustainable
profitability in the years ahead."
About VOXX International Corporation
VOXX
International Corporation (NASDAQ: VOXX) has grown into a worldwide
leader in many automotive and consumer electronics and accessories
categories, as well as premium high-end audio. Today, VOXX
International is a global company, with an extensive distribution
network that includes power retailers, mass merchandisers, 12-volt
specialists and most of the world's leading automotive
manufacturers. The Company has an international footprint in
Europe, Asia and Latin
America, and a growing portfolio, which comprises over 30
trusted brands. For additional information, please visit our
website at www.voxxintl.com.
Safe Harbor Statement
Except for historical
information contained herein, statements made in this release
constitute forward-looking statements and thus may involve certain
risks and uncertainties. All forward-looking statements made in
this release are based on currently available information and the
Company assumes no responsibility to update any such
forward-looking statements. The following factors, among others,
may cause actual results to differ materially from the results
suggested in the forward-looking statements. The factors include,
but are not limited to: statements with respect to the anticipated
results of the proposed transaction; the proposed transaction's
anticipated benefits to the Company; the anticipated closing of the
proposed transaction; and, other risk factors described in the
Company's annual report on Form 10-K for the fiscal year
ended February 28, 2019 which was filed with
the SEC on May 14, 2019, as amended on Form 10-K/A
filed on May 30, 2019, and other filings made by the Company
from time to time with the SEC. The factors described in
such SEC filings include, without limitation: the
Company's ability to realize the anticipated results of its
business realignment; cybersecurity risks; risks that may result
from changes in the Company's business operations; our ability to
keep pace with technological advances; significant competition in
the automotive, premium audio and consumer accessories businesses;
our relationships with key suppliers and customers; quality and
consumer acceptance of newly introduced products; market
volatility; non-availability of product; excess inventory; price
and product competition; new product introductions; foreign
currency fluctuations; and restrictive debt covenants.
Investor & Media Relations
Contact:
Glenn Wiener, GW Communications (for
VOXX)
Tel: 212-786-6011 / Email: gwiener@GWCco.com
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SOURCE VOXX International Corporation