Orbit International Corp. (NASDAQ:ORBT), an electronics manufacturer and software solutions provider, today announced that it has expanded the role of Cove Partners LLC ("Cove") of San Diego, California, an investment banking firm that specializes in mergers and acquisitions and strategic advisory services, to include the pursuit of alternative strategies, including the potential sale of the Company as a means of maximizing shareholder value. Cove was initially retained by Orbit at the beginning of 2007 to help the Company identify, value and consummate strategic acquisitions.
Dennis Sunshine, President and Chief Executive Officer stated, "Cove has presented several potential acquisition candidates that met our investment criteria. However, we have encountered a highly competitive market with respect to valuations and, thus far, we have been unable to complete a strategic acquisition for our Company. Therefore, we have expanded Cove's assignment to include the pursuit of all strategic alternatives, including the potential sale of the Company, as a means of enhancing shareholder value."
Management cautioned that there can be no assurance that any transaction will be pursued or that the expanded process will result in any specific transaction. The Company does not plan to provide any updates on its decision to pursue strategic alternatives until material agreements, if any, are executed, and no assurance can be made that these activities will in fact result in enhanced shareholder value.
Orbit International Corp., through its Electronics Group, is involved in the manufacture of customized electronic components and subsystems for military and nonmilitary government applications through its production facilities in Hauppauge, New York and Quakertown, Pennsylvania. Its Power Group, through its Behlman Electronics, Inc. subsidiary manufactures and sells high quality commercial power units, AC power sources, frequency converters, uninterruptible power supplies and associated analytical equipment. The Behlman military division designs, manufactures and sells power units and electronic products for measurement and display.
Certain matters discussed in this news release and oral statements made from time to time by representatives of the Company (including, but not limited to, statements regarding any acquisition proposal and whether such proposal or a strategic alternative thereto may be considered or consummated; statements regarding our expectations of Orbit's operating plans and strategies generally; statements regarding our expectations of the performance of our business; expectations regarding costs and revenues and future operating results) may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the Federal securities laws. Although Orbit believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. Forward-looking information is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Many of these factors are beyond Orbit International's ability to control or predict. Important factors that may cause actual results to differ materially and that could impact Orbit International and the statements contained in this news release can be found in Orbit's filings with the Securities and Exchange Commission including quarterly reports on Form 10-Q, current reports on Form 8-K, annual reports on Form 10-KSB and its other periodic reports and its registration statement on Form S-3 containing a final prospectus dated January 11, 2006. For forward-looking statements in this news release, Orbit claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Orbit assumes no obligation to update or supplement any forward-looking statements whether as a result of new information, future events or otherwise.
