- Acquisition is expected to be immediately accretive to earnings
- Strengthens steel manufacturing segment reinforcing strategic approach
LAS VEGAS, July 24, 2023 (GLOBE NEWSWIRE) — Live Ventures Incorporated (NASDAQ:LIVE), a diversified holding company (“Live Ventures” or “Company”), announced today that it has acquired Precision Metal Works, Inc. (“PMW”), a Kentucky-based Metal Stamping and Value-Added Manufacturing Company. PMW was acquired for a total consideration of approximately $28 million, comprised of $25 million cash, with additional consideration of up to $3 million paid in the form of an earn-out. The acquisition involved no issuance of stock of Live Ventures. The Company believes the acquisition will be immediately accretive to earnings.
Founded nearly 76 years ago in 1947, Louisville, Kentucky-based Precision Metal Works manufactures and supplies highly engineered parts and components across 400,000 square feet of manufacturing space in Kentucky. It offers world-class metal forming, assembly, and finishing solutions across diverse industries, including appliance, automotive, hardware, electrical, electronic, medical products, and devices.
“PMW aligns wonderfully with our existing steel manufacturing operations and our long-term ‘buy-build-hold’ strategy. We expect not only increased demand due to manufacturers onshoring operations to the United States, but also synergies across our steel segment. We welcome all 250 employees to the Live Ventures family,” said Jon Isaac, President and CEO of Live Ventures.
“We are a high-tech manufacturer that firmly believes America makes the best products in the world. Our metal forming technologies and cutting-edge processes are second to none, and we look forward to becoming part of the Live Ventures team,” said Richard Stanley, PMW’s President and CEO. “PMW is strategically positioned for ongoing expansion, thanks to substantial investments in top-of-the-line equipment, exceptional management, and strong customer and supplier relationships. By joining forces with Live Ventures, we gain access to growth capital that will propel our business forward in the rapidly growing electric vehicle market, as well as our other target markets. Together, we are poised for even greater achievements.”
“We will adopt the same values at PMW as we have in our other steel subsidiaries. We pride ourselves on being an excellent partner for our customers and suppliers, as well as an excellent place to work for our employees. We are committed to exceeding the expectations of our customers with quality products that are on time every time,” said Thomas R. Sedlak, CEO of Precision Marshall, a Live Ventures company.
As part of the acquisition, Live Ventures will retain PMW’s existing management team and all its employees.
Invision Capital Advisors, LLC and Focus Capital Advisors, Inc. acted as the financial advisers to PMW.
