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June 13, 2011 /PRNewswire/ -- Gerber Scientific, Inc. (NYSE: GRB)
(the "Company" or "Gerber Scientific"), and Vector Capital Corporation ("Vector") today announced that they have entered into a definitive merger agreement under which funds affiliated with Vector will acquire the Company.
Under the terms of the merger agreement, the shareholders of the Company will receive
$11.00 per share in cash, or approximately
$281.8 million in total. The cash consideration represents a 24% premium to the Company's average closing share price over the last 30 days and a 35% premium to the closing share price on
Friday, June 10, 2011. In addition to the cash payment, each shareholder of the Company will receive for each share they own a non-transferable right to receive contingent cash payments at future times, if recoveries are made pursuant to certain litigation claims in respect of U.S. Patent 5,537,135 (a computerized "print to cut" technology patent).
After a thorough assessment, the Board of Directors of the Company (the "Board") unanimously adopted the merger agreement.
"This merger is a very positive development for our shareholders, employees, customers and business partners," said
Donald P. Aiken, Gerber Scientific Chairman of the Board. "We are very excited to open a new chapter in our 60+ year heritage as a technology innovator through our new partnership with Vector, a leading technology investment firm. Vector has a proven track record as a value-added partner to its portfolio companies, and we believe that their technology expertise and financial resources will enable us to continue to provide superior products and service to our customers worldwide, while growing our global footprint."
Amish Mehta, a Partner at Vector, added, "We are very excited to partner with Gerber Scientific's talented team to continue to grow their leading technology business. The business that Gerber Scientific's team has built, coupled with its great product offerings, makes it an ideal fit for our portfolio of cutting edge technology companies. We believe our support, combined with Gerber Scientific's product strategy, employee talent and strong customer relationships will enable Gerber Scientific to further define itself as a leading player in the Apparel and Industrial market segment."