Lantronix, Inc. · NASDAQ:LTRX
Lantronix — Merger or Acquisition (April 2021)
8 slides from Lantronix's merger presentation, Apr 29, 2021
Slide 1: www.lantronix.com
www.lantronix.com 1
Slide 2: Lantronix to Acquire Transition Networks, Net2Edge from Communications Systems, Inc.
Lantronix to Acquire Transition Networks, Net2Edge from Communications Systems, Inc. Bringing scale, efficiencies, and accretion to turnkey IoT solutions providers www.lantronix.com 2
Slide 3: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements, including statements concerning our business and product development plans and strategies, the perceived benefits of our products and corporate acquisitions, and our future growth and financial performance. Any stateme
Slide 4: Transaction Summary
Transaction Summary Acquired Carve out of broadband connectivity infrastructure equipment (Electronics & Businesses Software Business Segment) from CSI (TKR: JCS) • PoE, Network Switches, Media Converters, Network Adapters • $34.5mm in CY 2020, Mid-40s GMs, Adjusted EBITDA <$1mm Transaction $25mm in
Slide 5: Strategic Rationale
Strategic Rationale Increased scale and cost efficiencies; Pro-forma combined revenue > $100 million annually Strengthens exposure to Smart Cities, Intelligent Transportation, and Security market verticals Significant synergy potential across COGS, operating expenses, and revenues Immediately accret
Slide 6: Complementary Products
Complementary Products New Verticals Expertise • Remote Management (NEM, NDM, NIM) • Network Infrastructure • Datacenter / MDF • Switches • Branch Office / Unmanned Site • Media Converters • External IoT • Adapters & Optics • Industrial Automation • PoE • Logistics • Segmentation • Fleet • Tradition
Slide 7: Product Development
Product Development Leveraging Each Other’s Competencies Cellular Connectivity Switching Open Q, Computing PoE Remote Management Smart Cities Gateways Federal/Municipalities SaaS Service Providers www.lantronix.com 7
Slide 8: Financial Efficiencies
Financial Efficiencies Revenue $34.5mm in TTM revenue, bringing combined pro-forma revenue to > $100mm • Complementary product offering brings multiple cross sell opportunities • Adds exposure to key growth verticals: Smart Cities, Smart Buildings, Intelligent Transportation • International sales a