- Omni-Lite Industries Canada Inc (OML) has secured several transactions and leaseback of its California manufacturing facility and real estate
- Taking 100 per cent of Designed Precision Castings Inc. (DP Cast) was one of the highlighted acquisitions among the transactions
- An affiliate of DP Cast has committed to purchasing common shares of Omni-Lite at a price of $1.25 per share for aggregate gross proceeds of $1.25 million
- This is following the sale Omni-Lite completed of its California manufacturing facility and associated real estate
- Omni-Lite Industries Canada Inc (OML) is unchanged trading at $0.95 per share as of 1:53 p.m. EST
Omni-Lite Industries Canada Inc (OML) has secured several transactions and leaseback of its California manufacturing facility and real estate.
Designed Precision Castings Inc. (DP Cast) was one of the highlighted acquisitions among the transactions.
Omni-Lite, acquired 100 per cent of the issued and outstanding shares of DP Cast pursuant to a share purchase agreement.
Omni-lite issued 3,078,710 Common Shares to the vendors, subject to certain provisions, valued at US$2.3 million.
It also paid US$300,000 in cash on closing to the vendors.
Assumed and repaid debt is valued at approximately US$3 million for DP Cast’s outstanding net debt.
DP Cast was acquired in a share and cash transaction valued at approximately US$5.7 million.
An affiliate of DP Cast has committed to purchasing common shares of Omni-Lite at a price of $1.25 per share for aggregate gross proceeds of $1.25 million.
Additionally, Omni-Lite completed the sale of its California manufacturing facility and associated real estate for aggregate gross proceeds of approximately US$6.8 million.
This represents a substantial premium over Omni-Lite carrying value of the asset.
It is expected to diversify Omni-Lite’s aerospace and industrial portfolio and create a platform with enhanced scale and scope.
It is to be used as a competitive moat to lead to producing highly engineered, high-performance components.
Omni-Lite intends to integrate its operations with DP Cast.
Omni-Lite manufactures specialized components for the aerospace, defense, automotive, and industrial sectors.
Omni-Lite Industries Canada Inc (OML) is unchanged trading at $0.95 per share as of 1:53 p.m. EST.
