Bel Closes Its Previously Announced Acquisition of Enercon Technologies
Bel Fuse has completed its previously announced acquisition of Enercon Technologies, acquiring an 80% stake for $320 million based on a $400 million enterprise value. The deal includes up to $10 million in potential earnouts for 2025-2026, with plans to acquire the remaining 20% by early 2027. The transaction was funded with $80 million cash and $240 million in credit facility borrowings.
Enercon, headquartered in Netanya, Israel, is a leading supplier of power conversion and networking solutions for military and aerospace markets, with facilities in North America and India. The company reported LTM Q3 2024 sales of $115 million with a 47% gross profit margin. This acquisition expands Bel's aerospace and defense market portfolio and manufacturing capabilities.
Bel Fuse ha completato l'acquisizione precedentemente annunciata di Enercon Technologies, acquisendo una partecipazione dell'80% per 320 milioni di dollari, basata su un valore aziendale di 400 milioni di dollari. L'accordo include fino a 10 milioni di dollari in potenziali guadagni per il 2025-2026, con piani per acquisire il restante 20% entro l'inizio del 2027. La transazione è stata finanziata con 80 milioni di dollari in contante e 240 milioni di dollari in prestiti da linee di credito.
Enercon, con sede a Netanya, Israele, è un fornitore leader di soluzioni per la conversione di energia e networking per i mercati militari e aerospaziali, con strutture in Nord America e India. L'azienda ha riportato vendite dell'ultimo anno fino al terzo trimestre del 2024 per 115 milioni di dollari, con un margine di profitto lordo del 47%. Quest'acquisizione amplia il portafoglio di mercato aerospaziale e della difesa di Bel e le capacità produttive.
Bel Fuse ha completado su adquisición previamente anunciada de Enercon Technologies, comprando una participación del 80% por 320 millones de dólares, basada en un valor empresarial de 400 millones de dólares. El acuerdo incluye hasta 10 millones de dólares en posibles ganancias para 2025-2026, con planes para adquirir el 20% restante a principios de 2027. La transacción se financió con 80 millones de dólares en efectivo y 240 millones de dólares en préstamos de líneas de crédito.
Enercon, con sede en Netanya, Israel, es un proveedor líder de soluciones de conversión de energía y redes para los mercados militar y aeroespacial, con instalaciones en América del Norte e India. La compañía reportó ventas del último año hasta el tercer trimestre de 2024 por 115 millones de dólares, con un margen de beneficio bruto del 47%. Esta adquisición amplía el portafolio de mercados aeroespacial y de defensa de Bel y sus capacidades de fabricación.
벨 퓨즈는 에너콘 테크놀로지스의 인수를 완료했습니다. 4억 달러의 기업 가치를 기준으로 3억 2천만 달러에 80%의 지분을 인수했습니다. 이번 거래에는 2025-2026년 동안 최대 1천만 달러의 추가 지급이 포함되어 있으며, 2027년 초까지 나머지 20%를 인수할 계획입니다. 거래는 8천만 달러의 현금과 2억 4천만 달러의 대출로 자금 조달되었습니다.
이스라엘 네탄야에 본사를 둔 에너콘은 군사 및 항공 우주 시장을 위한 전원 변환 및 네트워킹 솔루션의 선두 공급업체로, 북미와 인도에 시설을 두고 있습니다. 이 회사는 2024년 3분기까지의 LTM 매출이 1억 1천5백만 달러로, 총 이익률이 47%를 기록했습니다. 이번 인수는 벨의 항공 우주 및 방위 시장 포트폴리오와 제조 능력을 확장합니다.
Bel Fuse a finalisé l'acquisition de Enercon Technologies précédemment annoncée, en acquérant une participation de 80 % pour 320 millions de dollars, basée sur une valeur d’entreprise de 400 millions de dollars. L'accord comprend jusqu'à 10 millions de dollars de gains potentiels pour 2025-2026, avec des projets d'acquisition des 20 % restants d'ici début 2027. La transaction a été financée par 80 millions de dollars de liquidités et 240 millions de dollars d'emprunts de facilités de crédit.
Enercon, dont le siège est à Netanya, en Israël, est un fournisseur de premier plan de solutions de conversion d'énergie et de mise en réseau pour les marchés militaire et aérospatial, avec des installations en Amérique du Nord et en Inde. L'entreprise a rapporté des ventes pour le dernier exercice jusqu'au troisième trimestre 2024 s'élevant à 115 millions de dollars, avec une marge brute de 47 %. Cette acquisition élargit le portefeuille de marchés aéronautiques et de défense de Bel et ses capacités de fabrication.
Bel Fuse hat seine zuvor angekündigte Übernahme von Enercon Technologies abgeschlossen und erwarb 80% der Anteile für 320 Millionen Dollar basierend auf einem Unternehmenswert von 400 Millionen Dollar. Der Deal umfasst bis zu 10 Millionen Dollar an möglichen Bonuszahlungen für 2025-2026, mit dem Plan, die verbleibenden 20% bis Anfang 2027 zu erwerben. Die Transaktion wurde mit 80 Millionen Dollar in bar und 240 Millionen Dollar an Kreditaufnahme finanziert.
Enercon, mit Sitz in Netanya, Israel, ist ein führender Anbieter von Lösungen für die Energieumwandlung und Netzwerktechnologie für die Branchen Militär und Raumfahrt, mit Standorten in Nordamerika und Indien. Das Unternehmen meldete einen Umsatz von 115 Millionen Dollar im letzten Jahr bis zum dritten Quartal 2024 mit einer Bruttogewinnmarge von 47%. Diese Übernahme erweitert das Portfolio von Bel im Bereich Luft- und Raumfahrt sowie Verteidigung und die Fertigungskapazitäten.
- Acquisition of 80% stake in Enercon with $115M LTM Q3 2024 sales
- Strong gross profit margin of 47%
- Strategic expansion into aerospace and defense markets
- Geographic expansion with new facilities in India, Israel, and US
- Position as sole supplier for various military applications
- Significant debt increase with $240M in new credit facility borrowings
- Substantial cash outlay of $80M from existing resources
- Additional future payment obligation for remaining 20% stake
- Potential earnout liability of up to $10M for 2025-2026
Insights
This
The financing mix of
This acquisition significantly strengthens Bel's position in the military and aerospace markets. Enercon's status as a sole-source supplier for critical power conversion solutions across air, land and sea applications provides strong competitive moats and recurring revenue streams. The presence of manufacturing facilities in strategic locations - Israel, North America and India - aligns well with current defense industry trends toward supply chain diversification and security.
The engineering talent base in Israel, known for advanced military technology development, represents a valuable asset. The integration of Enercon's capabilities with Bel's existing portfolio should enhance the company's ability to secure defense contracts and expand market share in the growing defense electronics sector.
Acquired
WEST ORANGE, N.J., Nov. 14, 2024 (GLOBE NEWSWIRE) -- Bel Fuse Inc. (“Bel,” or, “the Company”) (Nasdaq:BELFA and Nasdaq:BELFB), announced today that it has closed the previously announced majority stake acquisition of Enercon Technologies, Ltd. (“Enercon”) from Fortissimo Capital based on an enterprise value of
Enercon is a leading supplier of highly engineered power conversion and networking solutions to military and aerospace markets globally. Enercon is headquartered in Netanya, Israel with manufacturing sites also located in North America and India. The company typically operates as the sole supplier of its products, providing robust and reliable solutions across air, land and sea applications. The full business has LTM Q3 2024 sales of
This acquisition allows Bel to extend its product portfolio supporting the aerospace and defense markets to include power solutions, with clear potential cross selling opportunities in the future. Bel’s manufacturing footprint expands further into India and the U.S. with new manufacturing capabilities and a talented group of engineers based in Israel. Enercon will operate independently under the Bel Power and Solutions segment.
About Bel
Bel (www.belfuse.com) designs, manufactures and markets a broad array of products that power, protect and connect electronic circuits. These products are primarily used in the networking, telecommunications, computing, general industrial, high-speed data transmission, military, commercial aerospace, transportation and eMobility industries. Bel's portfolio of products also finds application in the automotive, medical, broadcasting and consumer electronics markets. Bel's product groups include Magnetic Solutions (integrated connector modules, power transformers, power inductors and discrete components), Power Solutions and Protection (front-end, board-mount and industrial power products, module products and circuit protection), and Connectivity Solutions (expanded beam fiber optic, copper-based, RF and RJ connectors and cable assemblies). The Company operates facilities around the world.
Company Contact:
Lynn Hutkin
Vice President of Financial Reporting & Investor Relations
ir@belf.com
Investor Contact:
Three Part Advisors
Jean Marie Young, Managing Director or Steven Hooser, Partner
631-418-4339
jyoung@threepa.com; shooser@threepa.com
FAQ
How much did Bel Fuse (BELFA) pay for the Enercon Technologies acquisition?
What are Enercon Technologies' financial metrics in the Bel Fuse acquisition?
How did Bel Fuse finance the Enercon Technologies acquisition?
When will Bel Fuse acquire the remaining stake in Enercon Technologies?
