"The acquisition of IOtech further strengthens our offering and reach of providing PC-based measurement solutions to engineers and scientists," said Dr. James Truchard, National Instruments president, CEO and co-founder. "By combining IOtech's strengths in key areas, including portable, vibration measurement and OEM products, with NI's software and worldwide data acquisition leadership, we can further our acceptance of virtual instrumentation in applications for in-vehicle test, vibration measurement and machine monitoring."
"For years we have had a prosperous relationship reselling NI DASYLab software, which was an important factor in the decision to join NI," said Tom DeSantis, IOtech president and founder. "IOtech's 20 years of experience, complementary product portfolio and differentiated sales channel combined with NI's strong global presence and industry-leading NI LabVIEW software will let us serve a broader set of measurement applications worldwide."
The IOtech business, as a wholly owned NI subsidiary, will continue to run its operation as is out of Cleveland, Ohio, and sell and support its products through its existing direct channels and worldwide network of independent sales representatives and distributors. The companies will look to gain operational leverage in a variety of areas and greater access to global markets by using products and technologies from both companies.
"The acquisition of IOtech's complementary business is an opportunity for NI to improve its leadership position in the test and measurement market and to gain operating leverage," said Alex Davern, NI CFO. "As the company is small relative to NI, we expect the acquisition to be earnings-neutral in 2005 and to be modestly accretive to NI earnings in 2006."
SOURCE: National Instruments