EFI Completes Acquisition of VUTEk
FOSTER CITY, Calif. - June 3, 2005 - EFI (Nasdaq:EFII), the world leader indigital imaging and print management solutions for commercial and enterprise printing, today announced it has completed its acquisition of VUTEk®, Inc., the top global provider of superwide format digital inkjet printers, for approximately $281 million, plus cash acquired. The acquisition is an all cash transaction. The company also raised guidance for the second quarter based on the earlier than previously anticipated close of the VUTEk® acquisition.
For the second quarter ended June 30, 2005, EFI currently expects revenues in the range of $94 million to $94.5 million and pro forma diluted earnings per share of $0.10 to $0.11. The company reiterated its previously issued guidance of $84.0 million in revenue and pro forma earnings of $0.09 per diluted share for its existing businesses, with VUTEk® adding revenues of $10.0 million to $10.5 million and pro forma earnings of $0.01 to $0.02 per diluted share in the second quarter.
"We are delighted to announce the early close of the VUTEk® acquisition and we are excited about the growth opportunities for the superwide digital inkjet market as well as the synergies with EFI's existing product portfolio," said EFI CEO Guy Gecht. "In addition to the immediate accretion from the VUTEk® acquisition, as we enter the last month of the quarter, we feel confident that we will deliver on the prior outlook for our existing businesses."
For the second quarter of 2005, the company expects to report a GAAP loss in the range $0.69 to $0.70 per share, which will include the non-recurring write off of in-process research and development related to the VUTEk® acquisition, the amortization of intangibles related to acquisitions and stock based compensation expense as well as other non-recurring gains and losses. The preliminary valuation of the one time, non-recurring write off of in-process research and development and intangible assets was based upon EFI's preliminary evaluation of VUTEk®'s technology. The final valuation, which will be completed following the closing of the acquisition, may be materially different than the amounts contained within this press release.