#United States #Acquisition #Lake Mary #AMETEK #FARO Technologies

AMETEK to Acquire FARO Technologies

In a significant move to broaden its product lineup and market reach, AMETEK, Inc. has announced its agreement to acquire FARO Technologies, Inc. for $44 per share, translating to an approximate total enterprise value of $920 million. This acquisition is noted to be a strategic fit for AMETEK’s Ultra Precision Technologies division. The acquisition marks an essential step for AMETEK in advancing its capabilities in the 3D measurement and imaging sector.

The Financial Details of the Acquisition

On May 6, 2025, AMETEK confirmed that it had received the unanimous approval from the boards of directors of both organizations regarding the acquisition. This price represents a generous 40% premium over FARO’s closing stock price from the previous day. As a leading provider of advanced 3D measurement solutions, FARO has excelled in serving various markets with its innovative technology, which includes portable measurement arms, laser scanners, and trackers, among other services and software solutions.

FARO Technologies, founded in 1981 and based in Lake Mary, Florida, has an impressive history of providing high-accuracy measurement solutions. With annual sales hitting around $340 million, the company caters to a variety of industries, showcasing the versatile applications of their products.

Strategic Alignment with AMETEK

AMETEK's CEO David A. Zapico expressed strong confidence in the acquisition, highlighting that it will significantly bolster the company’s presence in key growth markets. By integrating FARO's distinctive tools and technologies, AMETEK aims to enhance its existing operations and create numerous opportunities for growth and margin improvement.

Peter Lau, the President and CEO of FARO Technologies, also shared his enthusiasm about the acquisition, stating that being part of AMETEK will position FARO well to accelerate its expansion and continue delivering innovative solutions worldwide. The resources and operational excellence that AMETEK brings to the table will indeed help in unlocking the potential for both companies.

What’s Next?

The completion of this acquisition is contingent on standard closing conditions, which include necessary regulatory approvals as well as the approval from FARO Technologies’ shareholders. The transaction is anticipated to close in the second half of 2025, paving the way for an exciting future for both AMETEK and FARO.

As AMETEK looks to solidify its market leadership in the industrial technology space, this acquisition is a crucial part of their growth strategy designed to achieve sustained double-digit growth in earnings per share over the business cycle. The integration of FARO’s advanced measurement technologies into AMETEK’s portfolio is expected to further leverage their brand and technological capabilities in new and existing markets.

About AMETEK

Founded in 1930, AMETEK is recognized as a top global provider of industrial technology solutions and serves a wide range of niche markets with annual sales around $7.0 billion. Their growth model is focused on operational excellence, strategic acquisitions, and technology innovation. As a component of the S&P 500, AMETEK maintains a strong reputation and competitive edge within the industry.

About FARO Technologies

For over 40 years, FARO Technologies has established itself as a pioneering organization in providing technology solutions that allow customers to harness measurement data to make informed decisions rapidly. They have consistently worked at the intersection of the digital and physical worlds, ensuring unmatched accuracy and precision in their offerings.

In summary, the AMETEK’s acquisition of FARO Technologies signifies a pivotal moment in both companies' trajectories, promising an agile response to ongoing market demands and technological innovations on the horizon.

Stay tuned for more updates as this acquisition process unfolds, further confirming AMETEK's commitment to excellence in industrial technology.