EnerSys, a top company in stored energy solutions for business uses, has agreed to buy Bren-Tronics Inc. for $208 million in cash.
EnerSys, based in Berks County, plans to pay for the purchase using its cash reserves. The deal is set to be completed in the second quarter of 2024, pending regulatory approvals and meeting usual closing conditions.
The CEO of EnerSys, David M. Shaffer, explained that acquiring Bren-Tronics supports the company’s growth in the military and defense market.
According to Shaffer, the acquisition is strategic because it helps the company expand in the military and defense market, where Bren-Tronics has strong products that are used by the Department of Defense and save lives.
Shaffer also mentioned that the two companies have similar cultures and product lines that work well together with little overlap.
Bren-Tronics, located in Commack, N.Y., makes portable power solutions for military uses, like small and large lithium batteries and charging devices.
Shaffer expressed excitement about combining the engineering and product development strengths of the two companies to drive innovation, provide better services, and improve the relationship with the Department of Defense.
Bren-Tronics, with around 280 employees in the U.S., France, and the U.K., had sales of about $100 million in 2023. It will become part of EnerSys’ Specialty business line.
The president and CEO of Bren-Tronics, Sai W. Fung, sees joining EnerSys as a chance to use their strengths together to solve energy storage challenges for the Department of Defense.
Mark Matthews, president of Specialty Global for EnerSys, believes the acquisition will speed up EnerSys’ progress in expanding its lithium product offerings, growing revenue, and working toward the company’s 2027 goals.
Matthews expects the extra product volume to be supported by their planned lithium gigafactory, and together they aim to set new industry standards and deliver innovative lithium technologies.
In February, the company announced its plan to build a gigafactory in Greenville, S.C., to improve battery production in the U.S. Construction is set to start in early 2025, and operations are expected to begin in late 2027.
EnerSys creates, produces, and delivers energy system solutions and batteries for moving vehicles, special batteries, chargers for batteries, power devices, battery add-ons, and outdoor equipment covering solutions to customers globally.
