With a US headquarters on Phoenixville Pike in Great Valley, MEI Conlux Holdings is a leading producer of "unattended transaction systems," like the cash systems used in arcade games and vending machines.
Industrial manufacturer Crane Co. announced Thursday it had inked a deal to purchase MEI for about $820 million dollars, pending regulatory approval, according to Business Wire:
Crane Co. (NYSE: CR), a diversified manufacturer of highly engineered industrial products, announced today that it has signed an agreement to purchase 100% of the equity interests in MEI Conlux Holdings (U.S.), Inc. and its affiliate MEI Conlux Holdings (Japan), Inc. (together “MEI”) from Bain Capital and Advantage Partners. The purchase price is approximately $820 million on a cash free and debt free basis, representing 9.6 times MEI’s estimated 2012 EBITDA of $85 million. MEI, a leading provider of payment solutions for unattended transaction systems, serves customers in the transportation, gaming, retail, service payment and vending markets.
Headquartered in Malvern, PA, and with sales of approximately $400 million in 2012, MEI has customers in over 100 countries and employs 820 people worldwide. From 2009 to 2012, MEI sales have grown at a 13% compound annual growth rate and EBITDA margins have increased to 21%. On a pro forma basis, the combined sales of MEI and Crane Payment Solutions will be approximately $575 million in 2012.
The CEO of Crane, Eric Fast, said, "Together we will be able to offer our customers a complete product suite utilizing MEI’s leadership in bill validation and Crane’s leadership in coin handling."
Read the full press release at Business Wire.