Special Devices, Inc. to be Acquired by Daicel Corporation
March 13, 2012
Moorpark, CA – Special Devices, Inc. (SDI or the “Company”) has announced that it has entered into a definitive agreement to be acquired by Daicel Corporation (Daicel) of Japan. This strategic acquisition will add significant synergies to its leading global position in initiators and MGGs for the automotive airbag inflator and seat belt retractor market.
The company expects to complete the stock sale transaction following completion of government reviews. The purchase price was not disclosed.
According to Christopher Hunter, President and CEO of SDI, “This combination of two world class companies and the opportunity build on each other’s unique strengths provides a tremendous advantage for our customers and employees.”
Mr. Hunter anticipates that this union will accelerate the development of new products and the further expansion into emerging markets. Hunter added, “This opportunity to leverage the engineering expertise and operational efficiencies of both companies is very exciting.”
Daicel Corporation is a Japanese based chemical and solution provider with global operations serving a variety of international business segments. Daicel’s history began with celluloid technologies, but its operations have since expanded into a variety of fields, such as cellulosic products, organic chemicals, high-performance chemicals for electronics materials, engineering plastics, various plastic products, automotive airbag inflators and defense-related products. In particular, Daicel has global automotive safety systems operations with manufacturing plants throughout Asia, North America and Europe.
SDI is a leading provider of precision engineered highly reliable energetic devices with an industry leading position in the global automotive market. Founded in the 1950s to provide pyrotechnic special effects to the movie industry, the Company has since expanded its focus and capabilities to provide products for the global automotive industry. Special Devices, Inc. is owned by funds managed by Wayzata Investment Partners LLC, and is headquartered in Moorpark, California with manufacturing facilities in Arizona, Germany and Thailand.
Fennemore Craig, P.C. provided legal counsel to SDI. Lazard Middle Market LLC provided M&A advisory services to SDI in connection with this transaction. Morrison & Foerster LLP provided legal counsel to Daicel. Sagent Advisors Inc. and Daiwa Securities Capital Markets Co. Ltd. provided M&A advisory services to Daicel in connection with this transaction.
Source: Special Devices, Inc.