Gerber Scientific
At the time of the transaction Gerber Scientific Inc. (formerly NYSE: GRB) served three markets. The company provided printing equipment, software and related supplies to customers in the sign making and specialty graphics industry; design and cutting equipment and software to customers in the apparel and industrial markets and processing equipment, software and related supplies to customers in the ophthalmic lens processing industry.
In order to expand its strategic positioning, Gerber engaged RA Capital Advisors to assist in its acquisition of Virtek Vision International, a leading provider of laser templating and marking and engraving systems for the global manufacturing sector.
RA Capital developed a strategy to acquire all of Virtek after Gerber lost a bid to acquire its laser templating business. Gerber made a bid for 100% of Virtek and was ultimately successful in buying the company and terminating the former agreement to sell the laser templating business to a third party. Taking into consideration the price paid, the cash acquired and the proceeds from the divestiture from the marking and engraving business (FOBA), Gerber paid significantly less than its original bid for the laser marking business that it originally desired to acquire.
