US: Gerber Technology “not for sale”
7 July 2009 | News | Source: just-style.com
CAD/CAM supplier Gerber Technology “is not being considered for sale,” its parent company said today (7 July), hitting back at media reports that suggested the unit might be offloaded in a bid to raise funds.
The denial comes after Gerber Scientific Inc last month swung to a fourth quarter loss of $2.3m from a profit of $6.1m in the same period a year earlier.
Sales tumbled 31% to $120.1m, forcing the company to say it was considering “several asset sales” that could raise up to $20m to improve liquidity and increase the amount of available credit under its existing credit facility.
However, Gerber says the assets being considered for sale are “non-core, non-strategic and/or underperforming,” including vacant land, under-utilised patents, and smaller business units within Gerber Scientific’s three core business segments.
Gerber Technology, which makes Product Lifecycle Management (PLM), pattern design, grading and marker making software, as well as plotters, automated spreading and cutting systems is the major and asset within the Apparel and Flexible Materials segment.
“As a matter of policy, we do not discuss potential transactions until they are consummated, said Marc Giles, Gerber Scientific president and CEO, “but wanted to set the record straight that our Gerber Technology business unit, which is a key business unit for us, is not being considered for sale.”