Little-known InfoLogix Inc., of Hatboro, will be acquired by Stanley Black & Decker Inc., which has some very recognizable brand names, in a deal valued at $61.2 million.
Stanley Black & Decker will pay $4.75 per share in cash for InfoLogix, a software developer. That's nearly $3 more than the $1.80 InfoLogix shares closed at on Wednesday. (The deal was announced after the market had closed.)
On first glance, power tools and software would seem to have little synergy.
But Stanley Black & Decker - formed from the combination of two tool makers earlier this year - is more than a hardware store brand. It provides security systems and has a line of health-care products that it intends to expand.
According to the new release, InfoLogix's health-care customer base is what's attractive to Stanley Black & Decker.
InfoLogix had 2009 revenues of $86.9 million but was unprofitable, losing $22.4 million. The company had 168 full-time employees as of March 31, according to its latest annual report.
The transaction is expected to close in the first quarter of 2011.