AMETEK Acquires Virtek Vision International

Rhea-AI Summary

AMETEK (NYSE: AME) has acquired Virtek Vision International, a Canadian provider of advanced laser-based projection and inspection systems, for an undisclosed amount. Virtek, with annual sales of approximately $40 million, specializes in 3D laser projectors, smart cameras, and AI-driven quality control systems for aerospace, defense, and industrial applications. The company will join AMETEK's Electronic Instruments Group (EIG). This strategic acquisition complements AMETEK's Creaform business, expanding their automated 3D scanning and inspection capabilities. AMETEK, a global industrial technology provider, reports annual sales of approximately $7.0 billion.

Positive

• Acquisition expands AMETEK's technological capabilities in 3D scanning and inspection
• Virtek brings $40 million in annual sales
• Strategic fit with existing Creaform business unit
• Enhances AMETEK's presence in aerospace and defense markets

Negative

• None.

Insights

M&A Analyst

This strategic acquisition strengthens AMETEK's position in the advanced manufacturing technology sector. The $40 million revenue addition from Virtek, while relatively small compared to AMETEK's $7 billion annual sales, brings valuable technological synergies with their Creaform business unit. The deal enhances AMETEK's capabilities in 3D laser projection and AI-driven inspection systems, particularly targeting high-value aerospace and defense markets.

The acquisition aligns perfectly with AMETEK's Growth Model, specifically hitting two key strategies: Strategic Acquisitions and New Product Development. By integrating Virtek's advanced laser-based systems with Creaform's existing 3D scanning technology, AMETEK can offer more comprehensive automated inspection solutions, potentially increasing their market share in quality control systems.

The transaction should be immediately accretive to earnings, though the impact will be minimal given the size. The real value lies in the technological integration and cross-selling opportunities across their customer base.

Technology Industry Analyst

Virtek's AI-driven software and algorithms for laser projection and inspection systems represent a significant technological advancement in manufacturing automation. Their smart camera systems and 3D laser projectors address the growing demand for precision quality control in complex manufacturing processes, particularly important in aerospace and defense applications where error margins are minimal.

The integration with Creaform's existing technology stack creates a comprehensive suite of automated 3D scanning and inspection capabilities. This combination could accelerate development of next-generation quality control systems, potentially leading to increased market penetration in Industry 4.0 applications. The deal positions AMETEK to capitalize on the growing trend toward automated manufacturing processes and digital quality control systems.

BERWYN, Pa., Oct. 31, 2024 /PRNewswire/ -- AMETEK, Inc. (NYSE: AME) today announced the acquisition of Virtek Vision International, a leading provider of advanced laser-based projection and inspection systems.

Virtek specializes in the development and manufacturing of advanced 3D laser projectors, smart cameras, and quality control inspection systems, powered by AI-driven software and algorithms. Their innovative machine vision solutions provide customers with precise, virtual laser guided measurement and inspection capabilities to help automate complex assembly processes and improve manufacturing efficiencies across a wide range of aerospace, defense and industrial applications.

"We are excited to welcome Virtek to the AMETEK family," said David A. Zapico, AMETEK Chairman and Chief Executive Officer. "Virtek is an outstanding acquisition and an excellent strategic fit with our Creaform business. Their strong technology capabilities nicely complement Creaform's enabling a broader suite of automated 3D scanning and inspection capabilities supported by advance software and algorithms."  

Virtek is headquartered in Waterloo, Canada and has annual sales of approximately $40 million. Virtek will join AMETEK as part of its Electronic Instruments Group (EIG) - a leader in advanced analytical, monitoring, testing, calibrating and display instrumentation.

Corporate Profile
AMETEK (NYSE: AME) is a leading global provider of industrial technology solutions serving a diverse set of attractive niche markets with annual sales of approximately $7.0 billion. The AMETEK Growth Model integrates the Four Growth Strategies - Operational Excellence, New Product Development, Global and Market Expansion, and Strategic Acquisitions - with a disciplined focus on cash generation and capital deployment. AMETEK's objective is double-digit percentage growth in earnings per share over the business cycle and a superior return on total capital. Founded in 1930, AMETEK has been listed on the NYSE for over 90 years and is a component of the S&P 500. For more information, visit www.ametek.com.

Contact:
Kevin Coleman
Vice President, Investor Relations and Treasurer
kevin.coleman@ametek.com
Phone: 610-889-5247

View original content:https://www.prnewswire.com/news-releases/ametek-acquires-virtek-vision-international-302291950.html

SOURCE AMETEK, Inc.

FAQ

What company did AMETEK (AME) acquire in October 2024?

AMETEK acquired Virtek Vision International, a Canadian provider of advanced laser-based projection and inspection systems.

What is Virtek Vision's annual revenue before being acquired by AMETEK (AME)?

Virtek Vision International has annual sales of approximately $40 million.

Which AMETEK (AME) division will Virtek Vision join?

Virtek Vision will join AMETEK's Electronic Instruments Group (EIG).

How does Virtek Vision complement AMETEK's (AME) existing business?

Virtek Vision complements AMETEK's Creaform business by enabling a broader suite of automated 3D scanning and inspection capabilities supported by advanced software and algorithms.