03/04/2014
Vicon and Iqinvision merge for strategic growth
Edgewood, NY (USA) and San Juan Capistrano, Ca (USA)
As permitted and contemplated by the merger agreement, Vicon expects to declare a special cash dividend of $0.55 per share payable with respect to shares of Vicon common stock held by shareholders of Vicon as of a record date prior to the completion of the merger and payable to such holders within 15 days after the completion of the merger.
“Vicon is thrilled to join forces with Iqinvision," said Ken Darby, Vicon Chairman and CEO. “Together, with the Vicon line of HD megapixel robotic dome cameras, our enterprise class video management software, Viconnet and Iqinvision’s highly regarded Iqeye brand, we bring a compelling solution offering to the video security market. The Iqinvision transaction is consistent with our strategy of providing high quality, proprietary solutions to our customers. The Vicon/Iqinvision combination will yield meaningful operational benefits, together with significant market and technological synergies. It’s a logical first step to strategic growth for both companies," said Darby.
“This is a great fit for Iqinvision as we combine with one of the iconic brands in the industry. Our product offerings are complementary to Vicon’s solutions, and we believe Vicon’s worldwide sales organisation will effectively promote the Iqeye brand to new markets and accelerate the growth of our sales footprint," said Charles Chestnutt, CEO of Iqinvision.
Ken Darby, who has delayed his retirement, will continue to lead the company until his successor is named. The search for a new CEO was recently restarted.
Both Vicon and Iqinvision’s product offerings will retain their existing branding, and both companies will continue to sell into and service their existing channels and customers. Customers are expecte to see no difference in sales, service, and support levels compared with prior to the merger.
For the twelve months ended December 31, 2013, Iqinvision and Vicon combined generated $56 million in revenue. Following the merger, the board of directors of the combined company will consist of three directors designated by Vicon and three directors designated by Iqinvision. TM Capital Corp. and Imperial Capital acted as financial advisors to Vicon and Iqinvision, respectively.