CECO Environmental Completes Successful Tender Offer for PFIE

Successful Completion of Tender Offer by CECO Environmental

CECO Environmental Corp. (NASDAQ: CECO), a prominent name in environmentally focused industrial solutions, has successfully finalized its tender offer to acquire Profire Energy, Inc. (NASDAQ: PFIE). This acquisition marks a significant milestone in CECO's efforts to expand its operational capabilities and technological offerings.

Details of the Tender Offer

The tender offer was valued at an impressive $125 million, where CECO presented $2.55 per share in cash for all outstanding shares of Profire Energy. This offer was made through CECO’s wholly owned subsidiary, Combustion Merger Sub, Inc. The acceptance of shares concluded on December 31, with more than 39.6 million shares tendered, achieving approximately 86.31% of the outstanding shares.

Implications of the Acquisition

By accepting the tendered shares, CECO has taken decisive steps toward acquiring Profire Energy. As part of this transaction, remaining shares that were not accepted will also be converted to cash at the same price per share. This acquisition will ultimately result in Profire becoming a fully owned subsidiary of CECO, allowing for greater synergy between the two companies' operations and strategic goals.

CECO's Vision and Commitment

CECO Environmental emphasizes its commitment to delivering innovative and efficient solutions that safeguard both the environment and industrial processes. Their diverse portfolio spans across various sectors, including industrial air, water management, and emerging energy transition markets. With the acquisition of Profire Energy, CECO plans to integrate advanced technologies to enhance its service offerings.

Expansion of Services and Capabilities

With the combined strengths of CECO and Profire, the companies are poised to address broader market needs. CECO has consistently focused on improving air quality and optimizing energy usage across numerous industries. Their expertise includes custom solutions ranging from power generation to petrochemical processing and wastewater treatment.

Future Perspectives

Looking forward, CECO Environmental is optimistic about the integration of Profire Energy. The collaboration is expected to drive innovation and expand the range of services offered to clients. CECO aims to harness the capabilities and technologies of Profire to meet increasing demand for sustainable industrial practices.

Commitment to Sustainability

CECO's acquisition strategy reflects its commitment to fostering sustainable practices in industrial sectors. By bringing in Profire’s technologies, CECO seeks to enhance its operational efficiencies while minimizing environmental impacts. This not only aligns with global sustainability goals but also caters to a growing market trend towards responsible business practices.

Company Background

Founded in 1966 and headquartered in Addison, Texas, CECO Environmental has established itself as a leader in the diversified industrial sector. The company leverages innovative technologies and industry expertise to solve complex challenges faced by various industries worldwide. With their recent tender offer and acquisition plans, CECO is positioned to strengthen its market presence significantly.

Investor Relations Contact Information

Investors seeking more information about CECO’s recent developments and future plans can reach out to the company’s investor relations team. Chief Financial and Strategy Officer Peter Johansson can be directly contacted at 888-990-6670. Additional inquiries can be routed to Steven Hooser or Jean Marie Young at Three Part Advisors by calling 214-872-2710 or emailing Investor.Relations@OneCECO.com.

Frequently Asked Questions

What was the purpose of CECO's tender offer for Profire Energy?

The tender offer aimed to acquire all outstanding shares of Profire Energy, enhancing CECO's portfolio and market presence.

What was the total value of the acquisition?

The acquisition was valued at approximately $125 million, with each share priced at $2.55 in cash.

How many shares were successfully tendered?

A total of over 39.6 million shares were validly tendered, representing about 86.31% of the outstanding shares.

What is the significance of this acquisition for CECO?

This acquisition allows CECO to integrate advanced technologies and expand its service offerings significantly within diverse industrial sectors.

Who can I contact for more information about CECO?

For inquiries, you can contact Peter Johansson, the Chief Financial and Strategy Officer, at 888-990-6670, or reach the investor relations team at 214-872-2710.

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