Adhesives and technology maker 3M Co., with major operations in Connecticut, said Monday it has agreed to acquire hand-identification detector Cogent Inc. in a deal worth about $943 million, The Associated Press reports.
3M is headquartered in Minnesota, but has fluid- and gas-filtration/separation systems operations in Enfield, Wallingford, Meriden and Stafford Springs — the result of its 2005 buyout of former CUNO Inc.
3M’s products range from sticky Post-It notes to respirators, computer arms, and films for liquid crystal display (LCD) TV screens.
Cogent, based in Pasadena, Calif., develops automated systems that read finger and palm prints. The company’s board of directors already has agreed to the deal and is recommending that shareholders accept it.
3M will pay $10.50 per share for Cogent in a tender offer that’s expected to last for 10 days. That is a 17.8 percent premium over Cogent’s closing price on Friday.
Cogent shares rose $1.73, or 19.5 percent, to $10.65 — slightly above the offered price — in morning trading Monday.
3M already operates a division for identification and authentication systems. Ming Hsieh, Cogent’s founder and CEO, said the acquisition would help 3M compete in border control and law enforcement markets.
“Together, we’ll deliver a broader range of identification and authentication solutions to the security industry and to our customers,” Hsieh said in a statement.
The acquisition is expected to close in the final three months of the year. Once completed, the deal should result in a charge of 9 to 10 cents per share during the next 12 months. However, Cogent also is expected to boost company earnings by 1 to 2 cents per share over the same period, excluding accounting adjustments and integration expenses, 3M said.
