Oakley has inked a deal to acquire Eye Safety Systems, Inc., a supplier of military, law enforcement, and firefighting protective eyewear. Oakley will pay $110 million in cash for “essentially all of the assets” of the company. Oakley expects the acquisition to be closed during the first half of 2007 and the deal should be immediately accretive. Management estimates a partial year contribution of approximately $30 million to sales and approximately 5 cents to earnings per share in 2007.
John Dondero, founder and president, Eye Safety Systems, Inc. will continue to lead the development and expansion of the business as its president. Eye Safety Systems currently does business in the military, fire fighting, and law enforcement channels. The companies feel that Oakleys financial resources and international infrastructure will allow ESS to expand its presence globally.
