-Collaborative Robotics is an emerging $100 million market with
forecasted rapid growth
-Universal Robots is the leader in collaborative robots with over 4,000
units sold
-Establishes Teradyne position early in a high growth segment of
industrial automation
-Teradyne provides revenue synergies, financial strength and global
reach to accelerate Universal Robots growth
- Cash only transaction using offshore funds, immediately accretive
NORTH READING, Mass. & ODENSE, Denmark--(BUSINESS WIRE)--
Teradyne,
Inc. (NYSE:TER) and the shareholders of Universal
Robots (UR) today announced they have signed a definitive agreement
under which Teradyne will acquire privately held Universal Robots, the
Danish pioneer of collaborative robots, for $285 million net of cash
acquired plus $65 million if certain performance targets are met
extending through 2018. The acquisition has been approved by the Board
of Directors of each company and is expected to close in the second
quarter of 2015 subject to customary closing conditions and regulatory
approval.
Universal Robots is the leading supplier of collaborative robots;
low-cost, easy-to-deploy and simple-to-program robots that work side by
side with production workers to improve quality and increase
manufacturing efficiency. Collaborative robotics is a $100 million
segment of the industrial robotics market growing at more than 50% per
year.
"Universal Robots is the technology and sales leader in the fast growing
collaborative robot market and we are excited to have them join
Teradyne," said Mark Jagiela, President and CEO of Teradyne. "This
acquisition complements our System and Wireless Test businesses while
adding a powerful, additional growth platform to Teradyne.”
Universal Robots achieved record revenue growth in 2014. Company revenue
increased 70 percent from 2013 reaching more than $38 million USD with
profit more than doubling from the prior period.
“The combination will boost our ability to innovate and recruit even
more and thus will extend our lead within collaborative robotics and be
of benefit to all our end-users and partners. At the same time, we are
proud to add a brand new line of business to Teradyne,” said Enrico Krog
Iversen, CEO of Universal Robots. "Our operations have been profitable
since late 2010. Teradyne’s world-class engineering and support
capabilities and strong financial position will help accelerate the
growth of our collaborative robots in new and existing markets,
especially in Asia where Teradyne holds a very strong position.”
The Danish Growth Fund, (Vækstfonden), has been the company’s main
investor since 2008.
“Establishing Universal Robots as the game changer and market leader in
the market for collaborative robots has been a great achievement, and
this acquisition will give Universal Robots the best possible
opportunity to further develop its leading position. It will strengthen
Universal Robots’ position in Denmark and be a great benefit for the
Danish high-tech industry going forward,” said Ulrik Jørring, Vice
Chairman of the Board of Universal Robots and Senior Vice President of
the Danish Growth Fund.
“The secret behind the success of Universal Robots is a clear strategy
based on these three key goals: focus, simplicity and tough execution.
The founders and the management have worked incredibly hard to realize
their vision of making collaborative robot technology available to all
businesses,” said Clas Nylandsted, Chairman of the Board, Universal
Robots. “I am very satisfied with Teradyne as the new owner of Universal
Robots,” added Nylandsted. “Among all the suitors, we chose to seek a
common future with the very right one.”
A webcast to discuss the acquisition will be held on Wednesday May 13,
2015 at 9:00 a.m. EDT. Interested parties should access the webcast at www.teradyne.com
and click on "Investors" at least five minutes before the call begins.
Interested parties can also call 1-800 865-4424 (U.S. and Canada) and
1-706-902-0224 (outside the U.S. and Canada). The conference ID is
47214450. A replay will be available approximately two hours after the
completion of the call. A replay will also be available on the Teradyne
website, www.teradyne.com.
About Universal Robots
Universal Robots is a result of many years of intensive research in
robots in Denmark’s successful “Robotic Valley” situated in Odense,
Denmark. The company was founded in 2005 by three researchers (Esben
Østergaard, Kasper Støy and Kristian Kassow). They wanted to make robot
technology accessible to all, and to make unique industrial robots that
could automate and rationalize all industrial processes, that were
affordable, flexible, user-friendly and safe to work closely with. The
product portfolio includes the collaborative UR3, UR5 and UR10 robot
arms named after their payloads in kilos. Since the first UR robot
entered the market in December 2008, the company has seen substantial
growth with the user-friendly robot arms now being sold in more than 50
countries worldwide. Average payback period for UR robots is the fastest
in the industry with only 195 days. The company is headquartered in
Odense, Denmark and has subsidiaries and regional offices in the U.S.,
Spain, Germany, Singapore and China. Globally, Universal Robots employs
over 150 employees. For more information, go to www.universal-robots.com.
About Teradyne
Teradyne
(NYSE:TER) is a leading supplier of Automatic Test Equipment used to
test semiconductors, wireless products, data storage and complex
electronic systems which serve consumer, communications, industrial and
government customers. In 2014, Teradyne had revenue of $1.65 billion and
currently employs approximately 3,800 people worldwide. For more
information, visit www.teradyne.com.
Teradyne(R) is a registered trademark of Teradyne, Inc. in the U.S. and
other countries.
Safe Harbor Statement
This release contains forward-looking statements regarding the
transaction, Teradyne’s future financial results, and Universal Robots’
future business prospects and market conditions. Such statements are
based on the current assumptions and expectations of Teradyne’s
management and are neither promises nor guarantees of future
performance. There can be no assurance that these forward looking
statements will be achieved. Important factors that could cause actual
results to differ materially from those presently expected include:
conditions affecting the markets in which Universal Robots operates;
market acceptance of Universal Robots’ new products; competition from
larger and more established companies in Universal Robots’ markets; the
protection of Universal Robots’ intellectual property; the retention of
key employees; the need for regulatory approval of the transaction;
Teradyne’s ability to successfully grow Universal Robots’ business; and
other events, factors and risks disclosed in filings with the SEC,
including, but not limited to, the “Risk Factors” section of Teradyne’s
Annual Report on Form 10-K for the fiscal year ended December 31, 2014
and Quarterly Report on Form 10-Q for the period ended April 5, 2015.
The forward-looking statements provided by Teradyne in this press
release represent management’s views as of the date of this release.
Teradyne anticipates that subsequent events and developments may cause
management's views to change. However, while Teradyne may elect to
update these forward-looking statements at some point in the future,
Teradyne specifically disclaims any obligation to do so. These
forward-looking statements should not be relied upon as representing
Teradyne's views as of any date subsequent to the date of this release.
Teradyne, Inc.
Andrew Blanchard, 978-370-2425
Investor
Relations
investorrelations@teradyne.com
or
Universal
Robots
Enrico Krog Iversen, +45 20 66 23 00
CEO
eki@universal-robots.com
or
The
Danish Growth Fund
Ulrik Jørring, +45 35 29 86 67
+45 40 80 48
74 (mobile)
Senior VicePresident
ulj@vf.dk
or
Universal
Robots
Clas Nylandsted, + 45 24 43 38 99
Chairman of the Board
cna@nielsen-nielsen.dk
Source: Teradyne, Inc.
