Industry Headlines

Cognex Corp. Acquires DVT

NATICK, MA-Cognex Corp., a supplier of machine vision systems, acquires DVT Corp., a privately held company based in Duluth, GA. Under the terms of the acquisition, Cognex purchased all of the outstanding shares of DVT for approximately $115 million, consisting of a cash payment of $104 million made at the closing, and a final payment of up to an additional $11 million in cash to be paid at the end of a one-year escrow period.

Cognex plans to maintain operations at DVT's current facility in Georgia, and continue selling and supporting DVT's vision products. DVT is a provider of low-cost, easy-to-use vision sensors, which it primarily sells to the factory-floor segment of the machine-vision business.

"This is the largest acquisition that Cognex has ever terms of price, in terms of revenue and most importantly, in terms of the positive impact that it will likely have on our company," says Dr. Robert J. Shillman, chairman and chief executive officer

of Cognex.

According to James Hoffmaster, president and chief operating officer, Cognex has been expanding its vision-product line in recent years, with its In-Sight brand of products growing to more than $60 million in five years.

"During 2004, Cognex started building a network of distributors, and prior to this acquisition, we had signed over 40 distributors, mostly in North America. With the acquisition of DVT, Cognex immediately gains a worldwide network of more than 150 additional distributors, all fully trained in selling and supporting machine vision products," adds Hoffmaster.

As a result of the acquisition, Cognex expects an increase in its revenue of approximately $15 to $20 million during fiscal year 2005. The acquisition is expected to be neutral to earnings in 2005, and accretive, even including acquisition charges, in fiscal year 2006.

Did you enjoy this article? Click here to subscribe to Quality Magazine. 

You must login or register in order to post a comment.




Karen Spencer, Clinkenbeard's quality manager, discusses what makes the plant stand out, advice for other plants, and looks to the future.
More Podcasts

Quality Magazine


2015 May

The May 2015 edition of Quality Magazine includes articles on cloud technologies, depth gages, ISO 9001, digital inspection and cool new products.

Table Of Contents Subscribe

Topics to Talk About

What topics would you like to see Quality cover more?
View Results Poll Archive

Clear Seas Research

qcast_ClearSeas_logo.gifWith access to over one million professionals and more than 60 industry-specific publications,Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.


Facebook2015_40 twitter_40px.png  youtube_40px.pnglinkedin_40px.png  GooglePlus_40