IDEX Buys FTL Seals Technology for $36.2 Million
Lake Forest, Ill.-based IDEX Corp. has bought U.K.-based FTL Seals Technology for $36.2 million, Idex announced this morning.
IDEX Chief Executive Officer Andrew Silvernail praised the quality of FTL's "highly engineered sealing solutions," and said the company will do well once "married" with Precision Polymer Engineering, which IDEX acquired in April 2010. IDEX develops fluid and metering technologies.
Privately held FTL does an estimated $13.9 million in annual sales, according to S&P Capital IQ. This would suggest IDEX paid 2.6 times sales for its acquisition -- a small premium to IDEX's own shares' valuation of 2.2 times sales. Shareholders have bid up IDEX shares 1.4% as of this writing on a down day for the market. IDEX shares currently sell for $53.05.
The article IDEX Buys FTL Seals Technology for $36.2 Million originally appeared on Fool.com.Fool contributor Rich Smith has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.