Insilco Holding Co. To Acquire InNet Technologies
19 December 2000
Insilco Holding Co. To Acquire InNet Technologies
COLUMBUS, Ohio, Dec. 19 Insilco Holding Co.
(OTC Bulletin Board: INSL) today reported that it has signed an agreement to
acquire the remaining outstanding shares that it currently does not own of
San Diego-based InNet Technologies. InNet designs, develops and markets a
broad range of magnetic interface products to networking, computer and
telecommunications original equipment manufacturers ("OEMs"). Insilco and
InNet have had a longstanding relationship since 1996 and jointly develop,
manufacture and sell the MagJack family of modular connector jacks with
integrated magnetics. The Company said the transaction, which is expected to
close in first quarter 2001, is subject to InNet shareholder and regulatory
approval, closing on a commitment for financing, and other customary terms and
conditions. Financial terms of the transaction were not disclosed.
David A. Kauer, Insilco President and CEO, said, "The merger of Insilco
and InNet enables us to more fully integrate our distinct technological
expertise and production capabilities to develop and manufacture connector and
electronic circuit assemblies capable of supporting higher speeds and broader
bandwidths required by Internet access applications.
"Our joint efforts have already led to the successful integration of
Insilco's Stewart Connector Systems brand of high-speed data grade connectors
with InNet's advanced miniature magnetic interface designs to create the
Stewart/InNet MagJack, while taking advantage of InNet's low-cost production
capabilities. Through a superior value proposition that includes significant
space savings on circuit boards, reduced assembly costs, and much better
performance and reliability, the MagJack has enabled us to establish an early
leadership position with major computer, network and communications OEMs in
this rapidly growing niche segment of the passive components market. The
merger also enables Insilco to expand its low-cost production capabilities
into China, where InNet has approximately 300,000 square feet of manufacturing
capacity."
Dale Trunzo, President of InNet, said, "We believe that this is a very
positive development for both companies. The close working relationship
between Insilco's Stewart Connector unit and InNet has allowed us to lead the
way for the industry to integrate connectors and interface magnetics. Now
that our technology is accepted, the new, closer relationship will allow us to
quickly capitalize on its rapid application."
Insilco Holding Co., through its wholly-owned subsidiary Insilco
Technologies, Inc., is a leading global manufacturer of cable assemblies, wire
harnesses, fiber optic assemblies and subassemblies, high-speed data
transmission connectors, power transformers and planar magnetic products, and
highly engineered, precision stamped metal components. Insilco maintains more
than one million square feet of manufacturing space and has 18 locations
throughout the United States, Canada, Mexico, Northern Ireland, Ireland and
the Dominican Republic serving the telecommunications, networking, computer,
electronics, automotive and medical markets. For more information visit our
sites at http://www.insilco.com or http://www.insilcotechnologies.com .
InNet is a leading developer and manufacturer of a broad range of magnetic
interface products serving the networking, telecommunications and computer
industries. Its products include discrete and integrated electronic circuit
assemblies and components used to match data network equipment to the networks
or communications lines and to protect equipment from power surges and
"electronic noise." Headquartered in San Diego, California, InNet
manufactures substantially all of its products from nearly 300,000 square feet
of manufacturing space in the province of Guangdong, Peoples Republic of
China. For more information, visit the InNet website at: http://www.innet-tech.com .
The statements made in this press release which are not historical facts
may be deemed forward looking statements, and, as such, are subject to certain
risks and uncertainties, including statements with respect to InNet's growth
prospects. It is important to note that results could differ materially from
those projected in such forward-looking statements. Factors which could cause
results to differ materially include, but are not limited to the following:
delays in new product introductions, lack of market acceptance for new
products, changes in demand for the Company's products, changes in market
trends, general competitive pressures from existing and new competitors,
adverse changes in operating performance, changes in interest rates, and
adverse economic conditions which could affect the amount of cash available
for debt servicing and capital investments. Further information concerning
factors that could cause actual results to differ materially from those in the
forward-looking statements are contained from time to time in the Company's
SEC filings, including but not limited to the Company's report on Form 10-K
for the year ended December 31, 1999 and subsequent reports on Form 10Q.
Copies of these filings may be obtained by contacting the Company or the SEC.