IEC Electronics Corp. has acquired General Technology Corp., a contract manufacturer in Albuquerque, N.M. for $14.2 million.
General Technology serves customers in the military and defense markets. An indirect, wholly owned subsidiary of Crane Co. (NYSE: CR), the unit logs annual sales of some $25 million.
Shares of IEC Electronics Corp. jumped 7 percent midday Thursday after the Newark, Wayne County, firm announced the deal, which was financed with a credit facility from M&T Bank Corp.
Shares (NYSE Amex: IEC) were trading midday at $3.66, up from $3.42 at Wednesday’s close.
Barry Gilbert, IEC chairman and CEO, said the company had been looking to acquire a firm with complementary technologies that served similar markets. General Technology’s expertise is in helping its customers, primarily those in the military field, manage legacy products and programs, he said.
“(General Technology) is a well-run company with strong margins that occupies an important niche in the military and defense market,” Gilbert said in a statement. “(General Technology) not only supports our customers’ emerging needs, but also provides us with an opportunity to diversify our customer base.”
With 370 local employees, IEC ranked No. 20 on the most recent Rochester Business Journal list of manufacturers.
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