April 22, 2013
CUI Global, Inc.
(NASDAQ: CUI), a platform company dedicated to the acquisition, development, and commercialization of new, innovative technologies, today announced that, effective
Thursday, April 18, 2013
, it has closed on its acquisition of 100% of the capital stock of
Orbital Gas Systems Limited
-based provider of natural gas infra-structure and advanced technology, including metering, odorization, remote telemetry units ("RTU") and a diverse range of personalized gas engineering solutions to the gas utilities, power generation, emissions, manufacturing and automotive industries.
Effective immediately, Orbital-UK will become a wholly owned subsidiary of CUI Global.
will continue as the managing director of Orbital-UK.
will remain as president and CEO of CUI Global, and assume the role of CEO of Orbital-UK. CUI Global does not expect any organizational changes to Orbital-UK's operations in the
The acquisition offers significant synergies for revenue growth. Orbital-UK's internationally recognized expertise in the natural gas industry, including bringing together the patented VE-technology with the
device from CUI Global offer natural gas operators/users a comprehensive solution set for the next generation of energy metering systems.
In addition, Orbital-UK's in-house engineering capabilities, manufacturing relationships, and R&D infrastructure are expected to accelerate the adoption of the GasPTi device, while allowing the company to control all calibration, packaging, delivery, engineering support and more within the Orbital-UK facilities; thus allowing CUI Global to capture an even larger percentage of operating margins from the final, packaged device – Anticipated cost synergies include leveraging existing sales and distribution infrastructure for cross-selling opportunities. The acquisition will also immediately add significant revenues and earnings to CUI Global.