Tolland-based Gerber Scientific Inc. became part of Connecticut’s business history Monday when California-based Vector Capital, completed its acquisition of Gerber for $283 million, The Journal-Inquirer of Manchester reports.
In addition to Vector, China’s CITIC Capital Partners private equity firm also took a minority stake in Gerber, making the 60-year-old, previously Connecticut-based company a privately held subsidiary of Vector and CITIC, the paper said on its Web site.
Gerber Scientific’s stockholders will receive $11 per share in cash, as Gerber’s stock symbol, “GRB,” was being delisted from the New York Stock Exchange today.
Simultaneously, Vector divested Spandex – a Gerber business unit and supplier to the sign making and display industries in Europe and Australia – to funds managed by Gilde Buy Out Partners, a European private-equity firm. No financial details were disclosed on the Spandex sale.
“We are delighted to be working with Vector Capital to execute on our long-term vision,” Gerber President and CEO Marc Giles said.
Vector Capital and CITIC Capital Partners have “the global capabilities, financial resources, and industry expertise” that will enable Gerber to capitalize on its “global infrastructure, dedicated employees, and loyal customer base,” Giles said.
“The sale of Spandex is part of our overall strategy to concentrate on our technology-intensive, global businesses, namely, Gerber Technology, which serves the apparel and industrial markets, and Gerber Scientific Products, a major player in the sign making and specialty graphics business,” he said.
Amish Mehta, a partner at Vector, said his company is committed to assisting Gerber “in accelerating its growth in the apparel and industrial market segment,” including acquisitions.
Gerber in June announced that it had signed an agreement to sell the company to Vector, two months after it sold its former South Windsor headquarters and consolidated its 600 workers at its Gerber Technologies building in Tolland.
Gerber was founded in South Windsor in 1951 by H. Joseph Gerber. In 1961 the company went through an initial public offering of stock, and later expanded to include Gerber Coburn, an optical lens equipment maker, which the company sold to the subsidiary’s management in 2010 for $21 million.
Gerber Scientific makes automated manufacturing equipment and software for markets including sign making, apparel, aerospace, transportation interiors, furniture, composites, and industrial fabrics.
