– Advanced Energy Industries has made a £571m offer to acquire XP Power, a UK-based developer of power conversion equipment
– The offer represents a significant premium over XP Power’s current share price, with previous offers increasing in valuation
– The acquisition would allow Advanced Energy to offer a more extensive array of products and technologies, enhancing its precision power solutions across various sectors.
Advanced Energy Industries has offered a £571m ($725.4m) bid to acquire XP Power, a UK-based developer of power conversion equipment. This bid, amounting to £19.50 per share in cash, follows three previous proposals and represents a significant premium over the current share price. Advanced Energy’s strategic growth plan aims to enhance its precision power solutions across industrial, medical, and semiconductor sectors. Despite previous rejections by XP Power’s board, Advanced Energy remains committed to its acquisition approach.
The proposed acquisition of XP Power would allow Advanced Energy to expand its product range and technology offerings, particularly in embedded system power products for semiconductor equipment. Advanced Energy President and CEO, Steve Kelley, believes that the acquisition would provide compelling value for both companies’ shareholders by combining technical capabilities and meeting the growing needs of customers. With XP Power’s engineering capabilities and complementary product portfolio, Advanced Energy aims to bolster its technology base and revenue through customized power conversion offerings. The acquisition proposal aligns with Advanced Energy’s strategy to enhance its market position and provide a more extensive array of products and technologies.