Acquisition Case Studies

At Salvo Technologies we are committed to strategic growth whether it be organic or through acquisition

We have an active mergers and acquisition team that looks at companies that closely align with our vision and strategy.

If a merger or acquisition makes more sense, as in the case of Next Phase Optics, we put together an offer.

Next Phase Optics Acquisition Case Study

Background
Next Phase Optics is a manufacturer and supplier of optical materials for the defense, aerospace, industrial, medical and research markets.

Deciding to Sell
After several years of strong results, Ted lost a business partner, which changed the balance of his workload. As a result, Ted and his wife decided to consider the option of selling Next Phase Optics.

The Acquisition
Upon reaching an agreement, the acquisition process took place in 2014. Over the course of about one month, Salvo staff packed and shipped the company’s equipment to Salvo headquarters in Seminole, Florida.

Conclusion
“Salvo Technologies does not just exist to make money,” remarked Ted. “They are dedicated to growth and dedicated to the optics industry. It’s clear that I left my business in very capable hands. I’m glad I made my decision and would advise anyone to do the same.”

Kreischer Optics Acquisition Case Study

Background
Kreischer Optics is a family-owned manufacturer of custom precision glass optics including glass optical aspheres, spheres, freeforms and cylinders available in UV, visible and IR.

Deciding to Sell
“The reason I took Salvo seriously was because of what it was doing in the industry,” said Tina. “With the Salvo group’s recent growth and acquisition of some of the industry’s most innovative companies, it seemed like the safest place to release my company and secure its future.”

The Acquisition
From start to finish, the acquisition process lasted approximately two months, and was finalized in April 2021. Kreischer Optics was relocated to the Salvo Technologies headquarters in Seminole, Florida.

Conclusion
“I’m excited about the potential I see in Salvo, and my company’s future with the group,” said Tina. “They are respecting the history of Kreischer Optics and keeping our name, which was very important to me. It builds on Cody and Emil’s legacy, and honors our history as well as our future.”

Arrow Thin Films Acquisition Case Study

Background
Arrow Thin Films is a high-volume manufacturer of film coatings, optics, high damage threshold coatings, and UV coatings for the medical, industrial, military, scientific, government research and development, and telecommunications markets.

Deciding to Sell
“Once the possibility of selling Arrow Thin Films became a reality, I thought back on the reasons why I started the company in the first place,” said Jon. “I eventually came to the realization that the company had always been for sale if the move would strengthen what I started and help ensure the future of Arrow Thin Films and everyone involved.”

The Acquisition
Throughout the process, Jon was impressed by how straightforward Salvo Technologies’ offer was. Having grown accustomed to complex 15-page documents outlining earnouts, holdings, and other details, he found Salvo’s easy approach a refreshing change.

Conclusion
“I am impressed with the amount of different markets Salvo has expanded into, and their continual focus on adding new capabilities through strategic acquisitions,” said Jon. “This group has an incredible amount of potential and is growing very quickly. For any business owners hesitant of considering joining the group for fear of complex and drawn-out negotiations or being cut out of their own business, I would recommend they keep an open mind.”

EOI Tech Acquisition Case Study

Background
EOITech is a provider of image sensor services for components used in a wide range of applications including biomedical imaging, electron microscopy, X-ray imaging and space applications

Deciding to Sell

With his expanded service offerings, business continued to pick up for Hugh. But without investment capital, he often experienced cash flow issues when the demand for his services would spike. Additionally, by funding his company fully from his own bank account, he was a little too close to the natural ebb and flow of the work, sometimes forgoing his own salary to make payroll for his employees.

The Acquisition

In July 2018, only three months after Hugh’s decision to pursue the offer, EOITech officially became a division of Salvo Technologies. EOITech’s equipment was carefully packed and shipped to Salvo headquarters.

Conclusion

“Joining Salvo Technologies was the best business decision I’ve ever made in my life,” said Hugh.

Since joining Salvo, Hugh has enjoyed concentrating on the work he enjoys without the administrative duties to distract him. He has been able to increase his number of patents from one to five, and is shifting more and more from the day-to-day processes that need to be completed, to working on higher level engineering projects and research and development. He was also lucky enough to join Salvo Technologies toward the beginning of their upward trajectory, and has enjoyed the exponential growth over the past few years.

Zaffiri Precision Acquisition Case Study

Background
Zaffiri Precision is a manufacturer of high tolerance metal components including electrooptical assemblies, PVD parts, and tooling and aftermarket accessories for the firearms industry.

Deciding to Sell
With word about the quality of his company’s work spreading like wildfire on social media, Stephen quickly found himself inundated with orders. He was working from 5am to 11pm every day, and desperately needed help finding additional employees and a larger space for more machines than his 1200 square-foot rental space would allow.

The Acquisition
After agreeing to move forward with the acquisition, Stephen was surprised at the speed with which the process moved. In October 2019, just about two months after their initial discussion, the acquisition was final.

Conclusion
“I have thoroughly enjoyed the ride that I’ve been on the last year and a half,” said Stephen. “Both PJ and John are top notch at everything they do, including business, strategy and leadership. They didn’t change anything about my company, provided me with all the capital I needed to do what I wanted, and guided me to build our 2nd and 3rd shifts. Before joining Salvo, I was in the position where I was making a lot of money, but needed help in the form of employees, capital and space to operate. They promised me all of that and they delivered on it.”

Spectrecology Acquisition Case Study

Background
Spectrecology is a supplier of high-performance, cost-efficient spectroscopy products ranging from spectrometers to oxygen systems, as well as custom-built solutions to all industries and applications. The company also features a rental system to provide a convenient and risk-free experience for customers.

Deciding to Sell
Mike started Spectrecology without an exit strategy, never even considering it a business to be sold.
While Mike had been approached several times before by different groups asking if he would consider selling Spectrecology, he always declined without a second thought. But having been in the industry for so long, Mike was well aware of Salvo Technologies and took note of the work they were doing.

The Acquisition
Having been through the acquisition process before during the sale of his first company, Mike was accustomed to six-digit legal fees and contractual agreements several inches thick. His experience with Salvo was completely different, due in part to his familiarity with Salvo, and the simplicity and transparency with which they approached the process.

Conclusion
“Deciding on the right buyer for your business depends on the business owner’s personal aspirations,” said Mike. “But I would advise considering an organization that makes long-term plans for ensuring that your customers continue to be treated right. Salvo made this a priority from the very beginning. They had a vast understanding of my products and are building impressive in-house capabilities to provide one-stop service to clients. It just felt like my company was going into good hands.”