Waytronx buys Japanese company

Waytronx Inc. on Monday said it has acquired a Japanese maker of electronics components in a strategic acquisition it believes will boost its penetration in Japan.

Tualatin-based Waytronx (OTCBB: WYNX), a provider of openly licensable advanced systems cooling solutions, acquired Comex Instruments Ltd. and 49 percent of Comex Electronics Ltd., as well as an associated distribution network for $260,000.

Terms of the deal call for three equal annual payments over the next three years to acquire the remaining 51 percent of Comex Electronics, making all entities wholly-owned subsidiaries of Waytronx.

As a result of the deal, Comex Instruments and its distribution network will become CUI Japan Ltd. Kunio Yamagishi, Comex’s managing director, will retain that role with the new entity. Waytronx chief operating officer Matthew McKenzie will become COO of the newly-formed entity. Waytronx CEO and William Clough will be chairman of the new company’s board.

In a news release, Waytronx said the deal will allow the company to manufacture many of its own products in Japan, while the distribution network will provide new channels for current Waytronx products developed by its U.S. subsidiary, CUI Inc.

The deal also provides potential for new revenue growth. Combined, the two Comex companies generated revenue of about $3.6 million last year with a customer list that includes Mitsubishi, Subaru, Japan Defense Force, Hitachi and Toshiba.

Waytronx shares fell about 7.5 percent during late-day trading Monday to 22 cents per share. It has a 52-week range between 16 cents and 41 cents per share.

Source from bizjournals.com