09 Aug Brady continues growth through Asian acquisition
MILWAUKEE—The growing popularity of digital music recorders, digital cameras and laptops served as the catalyst for Brady Corporation‘s recent acquisition of ID Technologies Pte Ltd. ID Technologies is a Singapore-based manufacturer and supplier of pressure sensitive die-cut components and labeling products. According to Vice President of Brady Asia-Pacific Allan Klotsche, this acquisition, along with previous purchases, will continue to open up a very significant portion of the available market share to Brady.
Terms of the transaction, which was announced Monday, were not disclosed.
ID Technologies is a manufacturer for the electronics and hard-disk drive industries and sells direct to customers in Singapore, China, Malaysia, Europe and the United States. The company had fiscal 2004 sales of approximately $24 million and employs about 150 people in Singapore and Shanghai. Brady expects the acquisition to add approximately $0.05 to earnings per diluted share in fiscal 2005.
“What’s very exciting for us is in each one of the acquisitions we have a new nugget of technology. We’re not just taking a piece of information from ID Technologies, but taking it plus something from the other groups. One plus one equals three here,” Klotsche said.
Recent acquisitional highlights for Brady include EMED Co., a sign maker, in April of this year for $190 million; Brandon International, a specialty die-cut maker, in 2003 and Balkhausen GmbH, a German company that discovered a new, precision die-cut method for automotive electronics, in 2001.
While the purchase of ID Technologies is expected to increase Brady’s market presence in Asia, the potential for broadening its portfolio of products and services available to customers around the world was also a major impetus.
“Growth in Asia has been a key strategy for us,” said Carole Herbstreit, Brady spokeswoman. “A part of our overall global strategy does have footprint in Asia but more importantly, it helps us be a market leader and be a key supplier.”
Milwaukee-based Brady is an international manufacturer and marketer of complete identification solutions and die-cut materials.