CalAmp Offers To Acquire LoJack For $5.50 Per Share In Cash, Updates Outlook

(RTTNews) - CalAmp (CAMP), a provider of wireless products, services and solutions, Thursday said it has made an offer to acquire all of the outstanding shares of common stock of LoJack Corp. (LOJN), a provider of vehicle theft recovery systems and advanced fleet management solutions, for $5.50 per share in cash, in a transaction valued at about $113 million.

The offer represents a premium of 58 percent to LoJack's closing stock price on December 9.

"For nearly two years, we have tried to engage with LoJack in friendly discussions regarding a combination of our two companies, and in the past 14 months we have made three all-cash offers to LoJack. To our disappointment, and to the detriment of LoJack's shareholders, LoJack has not demonstrated willingness to move toward actively negotiating a transaction with us," Michael Burdiek, CalAmp's President and CEO, said.

Separately, CalAmp updated its outlook for the fiscal 2016 third quarter ended November 30, 2015 and the full-year ending February 29, 2016.

The company currently expects fiscal 2016 third quarter revenue in the range of $74 to $75 million, with GAAP-basis net income in the range of $0.10 to $0.11 per share and non-GAAP net income in the range of $0.29 to $0.31 per share.

Previously, for the third quarter, the company projected adjusted earnings of $0.26 to $0.30 per share on revenues of $71 million to $76 million.

Analysts expect earnings of $0.29 per share on revenues of $73.7 million.

In addition, the company now expects full-year revenues in the range of $282 to $288 million. Analysts look for $285.63 million.

For the full year 2016, the company previously expected revenues of $281 million to $289 million.