USA: LSI Industries Ends Talks on Acquisition
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Friday, 12 December 2008 |
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LSI Industries Inc. announced that it has not been able to reach
mutually acceptable terms to acquire a small producer of specialty
lighting products that would have been a bolt-on type of product
acquisition.
Negotiations and pre-acquisition due diligence had been underway for
several months. As reported by PetrolWorld in October "With
respect to the bolt-on type lighting acquisition that we have been
working on for the past several months, we are taking a conservative
position and are now in the process of renegotiating the price and
terms of this contemplated transaction. This is necessary given the
lower valuation of peer group lighting companies and our debt averse
orientation in these unsettled markets. The likelihood of successfully
completing this acquisition has clearly gone down, but we are still
working on finding an acceptable way to move forward."
Unfortunately, we were unable to reach agreement and have terminated
all discussions regarding the acquisition of this company. On another
front, LSI Industries has begun preliminary discussions with a company
whose operations are related to solid-state lighting products. There
can be no assurance that such early discussions will lead to an
agreement in principal or a successful transaction.
PetrolWorld 111208
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