Enersys furthers expansion plans by completing acquisition of Bren-Tronics
Peter Felstead
Stored energy solutions provider Enersys announced on 26 July 2024 that it had completed its acquisition of Bren-Tronics: a leading manufacturer of rechargeable batteries for the military and other critical markets.
The acquisition of Bren-Tronics marks a significant milestone in EnerSys’ strategic growth and expansion initiatives.
“We are very pleased to have closed this important transaction and can officially welcome Bren-Tronics to the EnerSys family,” EnerSys President & CEO David M Shaffer was quoted as saying in a company press release. “EnerSys’ combination with Bren-Tronics will strengthen our position as a critical enabler of the energy transition and supports our growth in the attractive and growing military and defence end markets.
“Our acquisition will accelerate EnerSys’ transformation in expanding our lithium product offerings, growing revenue and profitability and advancing toward our fiscal year 2027 targets,” Shaffer added.
Bren-Tronics, headquartered in Commack, New York, was previously a privately held company and has developed a legacy of innovation since 1973. The company is a leading manufacturer of reliable portable power solutions, including small and large-format lithium batteries and charging solutions for military applications. It has approximately 280 employees across the United States, France, and the United Kingdom, with 2023 sales of approximately USD 100 million (EUR 91.6 million). Bren-Tronics will be integrated within EnerSys’ Specialty line of business.
EnerSys purchased Bren-Tronics for an all-cash transaction of USD 208 million. The purchase price represents approximately 8.7x Bren-Tronics’ adjusted EBITDA for the 12 months ending 31 December 2023. The transaction will be immediately accretive to EnerSys.
EnerSys will provide further updates on the strategic and financial benefits of the acquisition as well as integration plans during its first quarter fiscal 2025 earnings call scheduled for 8 August 2024.
Reed Smith LLP served as legal advisor to EnerSys in connection with the transaction, while Stout, a global advisory firm, served as a financial, tax, and IT advisor.
