EnerSys sees run-rate synergies in excess of $25M from Alpha Group acquisition
EnerSys announced that it has completed its acquisition of the Alpha Technologies Group of companies. The acquisition of the Alpha Group will accelerate and advance EnerSys' competitive position and enable it to deliver an expanded product portfolio across the broadband, telecom, renewable and industrial markets. EnerSys expects the acquisition to generate annual run-rate synergies in excess of $25M and to be accretive to EnerSys' earnings, excluding any one-time or acquisition related costs. Under the terms of the acquisition agreement, EnerSys acquired the Alpha Group for $750M consisting of $650M in cash and $100M in EnerSys shares. The equity component of the consideration resulted in Fred Kaiser, the Alpha Group's founder, owning approximately 3% of EnerSys following the acquisition.