M&A · Tech · Printed Circuit Boards
Creation Technologies Inc. to acquire IEC Electronics Corp
Announced Aug 12, 2021 · Closed Oct 5, 2021
Deal value$242MEV $242M
Premium47.0%To unaffected price
EV / Adj. EBITDA21.2x1.3x EV / Revenue
ConsiderationAll cash$15.35 per share
Transaction
- Acquirer
- Creation Technologies Inc.
- Target
- IEC Electronics Corp
- Buyer type
- Strategic
- Offer price per share
- $15.35
- Enterprise value
- $242M
- Status
- Closed Oct 5, 2021
Deal protections
- Break fee (target pays)
- $7.6M · 3.1%
- Reverse fee (buyer pays)
- $10.0M · 4.1%
- Go-shop
- 35-day go-shop
- Financing
- Committed · JPMorgan
Advisors
- To the acquirer
- Moelis
- To the target
- B. Riley
Sector context · Tech
- Comparable deals
- 38 in the prior 24 months
- Premium
- 47.0% vs. 30.8% sector median
- EV / Adj. EBITDA
- 21.2x vs. 17.3x sector median
- Break fee
- 3.1% vs. 3.0% sector median
Timeline
- AnnouncedAug 12, 2021
- Tender offerAug 12, 2021
- ClosedOct 5, 2021
Valuation · fairness opinions
Trading comparables$3.87$7.78
Trading comparables$5.93$10.06
Precedent transactions$3.02$5.34
Discounted cash flow$12.87$18.22
Premiums paid$12.62$13.51
Offer $15.35
Implied value per IEC Electronics Corp share by analysis, from B. Riley · DCF discount rate 13%–15%.