WIXOM, Mich., Feb. 27 /PRNewswire-FirstCall/ -- Veri-Tek International, Corp. ("Veri-Tek" or the "Company") announced today that it has entered into a letter of intent to acquire all of the operating assets of Manitex, Inc. The terms and conditions of the anticipated transaction were not disclosed.
Manitex is a leading North American manufacturer of highly engineered lifting equipment that operates in the $110 billion U.S. industrial machinery industry. Manitex is a well recognized and respected brand in the boom truck and the specialized indoor and high capacity forklift industry. Manitex posted revenue for fiscal 2005 of approximately $62.0 million and adjusted EBITDA of approximately $5.0 million. Manitex currently has a significant backlog which will be produced by Veri-Tek after the purchase. David Langevin, the current Chairman and CEO of Manitex, will assume the role of Veri-Tek's Chairman. Manitex intends to expand its national presence.
Spokespersons for both VCC and Manitex indicated that necessary due diligence would continue, and it is anticipated that a definitive agreement would be concluded in late March subject to necessary stockholder, government, lender and other agency approvals. It is anticipated that the closing will occur in April.
SAFE HARBOR STATEMENT
Certain statements made by Veri-Tek International, Corp. in this presentation and other periodic oral and written statements, including filings with the Securities and Exchange Commission, are "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, as well as statements which address operating performance, events or developments that we believe or expect to occur in the future, including those that discuss strategies, goals, outlook or other non-historical matters, or which relate to future sales or earnings expectations, cost savings, awarded sales, volume growth, earnings or a general belief in our expectations of future operating results, are forward- looking statements. The forward-looking statements are made on the basis of management's assumptions and estimations. As a result, there can be no guarantee or assurance that these assumptions and expectations will in fact occur. The forward-looking statements are subject to risks and uncertainties that may cause actual results to materially differ from those contained in the statements. Some, but not all of the risks, include our ability to obtain future sales; our ability to successfully integrate acquisitions; changes in worldwide economic and political conditions, including adverse effects from terrorism or related hostilities including increased costs, reduced production or other factors; costs related to legal and administrative matters; our ability to realize cost savings expected to offset price concessions; inefficiencies related to production and product launches that are greater than anticipated; changes in technology and technological risks; increased fuel costs; work stoppages and strikes at our facilities and that of our customers; the presence of downturns in customer markets where the Company's goods and services are sold; financial and business downturns of our customers or vendors; and other factors, uncertainties, challenges, and risks detailed in Veri-Tek's public filings with the Securities and Exchange Commission. Veri-Tek does not intend or undertake any obligation to update any forward- looking statements.
First Call Analyst:
FCMN Contact: lgabryel@nobleintl.com
