Tempo Automation Announces Definitive Agreement to Acquire Optimum Design Associates Extending Its Accelerated Manufacturing Platform to Electronic Design Services
27 March 2023 - 10:00PM
Tempo Automation Holdings, Inc. (NASDAQ: TMPO, “Tempo Automation”
or “Tempo”), a leading software-accelerated electronics
manufacturer, announced today that it has entered into a definitive
agreement to acquire Optimum Design Associates, Inc. and Optimum
Design Associates Pty. Ltd. (collectively “Optimum” or “Optimum
Design Associates”), a fast-growing electronic design services
company with offices in the United States and Australia that has
delivered over 10,000 printed circuit board (PCB) designs to
blue-chip customers. By vertically integrating electronic design
and manufacturing, Tempo expects to be able to engage with
customers even earlier in their product design process,
streamlining the hardware development journey and providing a more
efficient and faster way to get electronic products to market. The
anticipated benefits of the acquisition include access to Optimum’s
experienced engineering team and cross-selling opportunities to
expand the customer base. The transaction is expected to close in
the second quarter of this year.
“This acquisition will be a significant step
toward our vision of transforming the speed and quality of
electronics prototyping,” said Joy Weiss, CEO of Tempo Automation.
“As onshore electronics development and manufacturing continues to
grow, the need for innovation in the end-to-end automation sector
grows as well. Our industry has been fragmented and siloed, so we
designed Tempo’s Accelerated Manufacturing Platform as a hub for
industry consolidation and vertical integration.”
Nick Barbin, Co-founder and President of
Optimum, added, “Our proprietary design management tools and
library services are natural extensions to Tempo’s Accelerated
Manufacturing Platform. The acquisition is an efficient way for us
to accelerate our roadmap and offer PCB assembly services to our
customers. We’re excited to join forces with Tempo and contribute
to their mission of revolutionizing the electronics industry.”
Optimum’s experienced engineering team is
recognized for its expertise in complex electronics designs with
advanced constraints, with specialized skills in Radio Frequency
(RF), Mixed Signal, and FPGA designs that are at the heart of most
modern communication and mobility systems. Tempo has a track record
of rapidly manufacturing similar complex designs and helping
customers get their products to market quickly. Tempo believes that
the opportunities to cross-sell design and manufacturing services
will be natural synergies for the combined company.
Tempo recently added powerful new tools to its
Accelerated Electronics Manufacturing Platform, enabling its
customers to hedge against electronics components market
volatility. Customers can secure critical components early with
Tempo and apply them to their many prototype and on-demand
production builds. Optimum’s engineers will be able to tap into
these tools to ensure that new electronic designs incorporate
components that can be readily sourced and offer to have these
pre-purchased and managed for the customer.
Investor Conference Call
Tempo will host an investor conference call
today, March 27, at 7:00 am Pacific Time, during which management
will discuss the proposed acquisition and preliminary unaudited
financial results for fiscal year 2022, and review the related
investor presentation. The conference call can be accessed by
dialing (646) 307-1963 within the United States and (800) 715-9871
for all other locations and providing the ID: 2180485. A live
webcast of the call will also be available at:
https://edge.media-server.com/mmc/p/fx7ad6gn. Presentation
materials including unaudited 2022 results and the 2023 financial
outlook are accessible today, on Tempo’s investor relations website
at https://investors.tempoautomation.com/.
A live webcast of the conference call will be
accessible during the conference call, and a replay of the webcast
will be available after completion of the conference call, on
Tempo’s investor relations website at
https://investors.tempoautomation.com/.
About Tempo Automation
Tempo is a leading software-accelerated
electronics manufacturer, transforming the way top companies
innovate and bring new products to market. Tempo Automation’s
unique automated manufacturing platform optimizes the complex
process of printed circuit board manufacturing to deliver unmatched
quality, speed and agility. The platform’s all-digital process
automation, data-driven intelligence, and connected smart factory
create a distinctive competitive advantage for customers—to deliver
tomorrow’s products today. From rockets to robots, autonomous cars
to drones, many of the fastest-moving companies in industrial tech,
medical technology, space, and other industries partner with Tempo
Automation to accelerate innovation and set a new tempo for
progress. Learn more at tempoautomation.com.
Advisors
Latham & Watkins LLP is acting as legal
advisor to Tempo. Rutan & Tucker, LLP is acting as legal
advisor to Optimum.
Use of Forward-Looking
Statements
This press release contains certain
forward-looking statements within the meaning of the federal
securities laws with respect to the proposed acquisition of Optimum
by Tempo, including statements regarding the benefits of the
proposed acquisition, the anticipated timing of the proposed
acquisition and the services offered by Tempo and the markets in
which it operates. These forward-looking statements generally are
identified by the words “believe,” “project,” “expect,”
“anticipate,” “estimate,” “intend,” “strategy,” “future,”
“opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,”
“will continue,” “will likely result,” and similar expressions.
Forward-looking statements are predictions, projections and other
statements about future events that are based on current
expectations and assumptions and, as a result, are subject to risks
and uncertainties that could cause the actual results to differ
materially from the expected results. Many factors could cause
actual future events to differ materially from the forward-looking
statements in this document, including but not limited to: (i) the
risk that the proposed acquisition may not be completed in a timely
manner or at all, which may adversely affect the price of Tempo’s
securities; (ii) the failure to satisfy the conditions to the
consummation of the proposed acquisition; (iii) the occurrence of
any event, change or other circumstance that could give rise to the
termination of the definitive agreement relating to the proposed
acquisition; (iv) the effect of the announcement or pendency of the
proposed acquisition on Tempo’s or Optimum’s business
relationships, performance, and business generally; (v) risks that
the proposed acquisition disrupts current plans of Tempo or Optimum
and potential difficulties in Tempo or Optimum employee retention
as a result of the proposed acquisition; (vi) the ability to
implement business plans, forecasts, and other expectations after
the completion of the proposed acquisition, and identify and
realize additional opportunities; (vii) the risk of downturns in
the highly competitive industry in which Tempo and Optimum operate;
(viii) the enforceability of Optimum’s intellectual property,
including its patents, and the potential infringement on the
intellectual property rights of others, cyber security risks or
potential breaches of data security; (ix) the ability of Optimum to
protect the intellectual property and confidential information of
its customers; and (x) other risks and uncertainties described in
Tempo’s filings with the SEC, including its past and future
periodic reports and other filings. Such factors and risks as
outlined above and in such filings do not constitute all factors
and risks that could cause actual results of Tempo to be materially
different from Tempo’s forward-looking statements. Accordingly,
investors are cautioned not to place undue reliance on any
forward-looking statements. These forward-looking statements are
made as of today, and Tempo does not intend, and has no obligation,
to update or revise any forward-looking statements in order to
reflect events or circumstances that may arise after the date of
this press release, except as required by law.
Contact:Investor RelationsLori
Barker, Blueshirt Grouplori@blueshirtgroup.com
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