Data I/O Corporation (DAIO) has completed the acquisition of V-Tek, Inc. and A&J Programming, Inc. for an aggregate purchase price of $23.0 million. The company describes the deal as a "transformational acquisition" that is anticipated to double its revenue. To partially fund the transaction, Data I/O also closed a private placement of common stock and convertible debentures, raising gross proceeds of approximately $13.25 million.
Key Details
- Acquisition Terms: The $23.0 million purchase price consists of $20.0 million in cash and $3.0 million in Data I/O common stock valued at $2.68 per share. The acquisition was completed on October 20, 2026.
- Private Placement Financing: The company raised approximately $13.25 million through the sale of 746,266 shares of common stock at $2.68 per share and $11.25 million in 5-year convertible debentures. Net proceeds will be used to fund a portion of the acquisition.
- Convertible Debentures: The notes bear interest at 5.0% per annum (increasing by 1% annually) and are convertible into common stock at a price of $2.68 per share or into Series C Convertible Preferred Stock.