Fuel Systems Solutions (Nasdaq:FSYS) To Acquire Distribuidora Shopping S.A. Through Italian Subsidiary

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09:20:14 am on December 19, 2008

Fuel Systems Solutions, Inc. announced today that it will be acquiring Distribuidora Shopping S.A. through its Italian subsidiary MTM S.r.L.. Distribuidora Shipping makes the Tomasetto Achille brand components for compressed natural gas vehicles. The deal, which should be completed in January, is for $22 million, "subject to adjustment for any closing indebtedness." Also, under the agreements shareholders will receive $10.0 million of Fuel Systems common stock.

Matthew Beale, Fuel Systems Solutions’ president, commented on the purchase:

 

"This acquisition furthers our strategic plan in many ways. DS is an outstanding fit with our transportation business. The transaction reinforces our natural gas vehicle product line and expands our global manufacturing and distribution footprint. With this acquisition, we believe that our combined companies will offer a comprehensive product range in the market for alternative fuel systems. In addition, DS’s similar business model and entrepreneurial culture will facilitate integration and the activation of important operating efficiencies across our international production platform. We are also fortunate to welcome a top quality management team led by DS’s founder, Carlo Evi. Despite the current challenging economic environment, we continue to take the steps necessary to position our business to capture the clear medium term growth opportunity in our markets."

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