. .

Printronix Sell Thermal/AIDC Product Line to TSC Auto ID Technology

IRVINE, CA – November 9, 2015

Printronix Inc., a worldwide leader in industrial printing solutions, today announces that it has reached an agreement to sell its Thermal/AIDC business to TSC Auto ID Technology Co., Ltd. (TWSE: 3611.TWO)

TSC will acquire all intellectual and branding rights to Printronix’ Industrial Thermal stationary and mobile printers, barcode verification, RFID, and PrintCart product lines that will operate post-closing as a stand-alone company called Printronix Auto-ID Inc.

“Our strategy to accelerate the growth potential for Printronix’ Thermal business and to present a broader choice of solutions to our enterprise customers drove our decision to sell the Thermal business to TSC Auto ID. TSC’s strength in AIDC product development, its breadth of product portfolio, the ability to expand Printronix’ commercial footprint, especially in Asia, and the ability to get economies of scale within the supply chain, made TSC Auto ID a logical choice,” said Printronix Chief Executive Officer Werner Heid.

“The acquisition of the Printronix Thermal/AIDC Business presents tremendous opportunities for both companies, its partners, and its end-user base,” said Sam Wang, President of TSC Auto ID. “The two companies are extremely complementary from Product, Channel, and Technology perspectives. Printronix’s recognized excellence in the Industrial printing segments is the optimal addition to TSC’s strong base in desktop printing. Additionally, Printronix’s strength in the Americas and EMEA will also help both companies accelerate growth in these regions. We are very excited to be joined by our new team members, and to create a broader and more competitive product offering for both customer bases.”

The retained business will operate as Printronix, LLC, focusing on our core impact technology, where Printronix holds the leading global position.

Heid said “The sales of the Printronix Thermal business will enable us to maximize the business opportunity for the remaining impact printing business, which continues to offer significant value in terms of unmatched reliability, lowest cost of operation, robust media handling and inherent ‘green’ benefits. Furthermore it allows us to partner with our enterprise customers and leverage our intellectual property to expand our product & service offerings into adjacent printing markets and to invest in new emerging industrial printing opportunities.

The transaction is scheduled to be completed by January 2016.

About Printronix Inc.

Printronix is a global leader in industrial printing solutions, offering the most-trusted selection of ultra-reliable printers, supplies, service and parts for environments demanding high reliability and low-cost printing. The company offers two of the most-trusted brands in industrial printing, Printronix and TallyGenicom, known throughout manufacturing, distribution, retail, banking, healthcare, government and other enterprises across the globe. The combined portfolios include the highest quality line matrix, thermal and RFID printers. Printronix was founded in 1974 and is headquartered in Irvine, Calif. For additional information, visit Printronix.com, Twitter, LinkedIn or Facebook.

Evercel Announces the Closing of the Sale of Its Thermal Business to TSC Auto ID Technology Co., Ltd.

NEW YORK, Feb. 01, 2016 (GLOBE NEWSWIRE) — Evercel, Inc. (OTC:EVRC) has successfully closed the sale of the Printronix thermal printer business to TSC Auto ID Technology Co., Ltd (“TSC”). The transaction was structured as the sale of the stock of Printronix, Inc. and the concurrent sale of certain assets related to the thermal printer business. Thirty employees transitioned with the sale. The Printronix line matrix printer business and all other business operations not directly related to the thermal printer business were spun off into a new subsidiary of Evercel, Printronix, LLC, prior to the sale to TSC.

In connection with the transaction, TSC retired all $28m of Printronix bank debt. Following the sale, Printronix, LLC is debt-free, (except for a mortgage on the Singapore facility, see below) and will continue to operate globally under the brand Printronix. Evercel will receive approximately $15m of net cash proceeds upfront from the sale with an additional amount payable at various stages over the next 2 years if TSC achieves certain sales milestones. If all such amounts are received, it is expected that the total proceeds to Evercel will be at least equal to the $18m Evercel originally invested in Printronix.

Unrelated to the transaction with TSC, the sale of Printronix’s Singapore manufacturing facility has received government approval and is expected to close by April. Printronix will use the bulk of the after-tax proceeds from this sale to build out a rented manufacturing facility in Malaysia. The new facility is expected to result in lower manufacturing costs and overhead.

Over the next year, Evercel expects to optimize the operations of Printronix, LLC to focus solely on the line matrix printer business, where it is the global leader. Please refer to our October 23rd annual investor letter for more information on this business.

About Evercel: New York City based Evercel is a publicly traded holding company that oversees and manages subsidiary companies. Due to Evercel’s limited number of shareholders and its decision at present not to register with the SEC, Evercel is not obligated to report business or financial information. Evercel chooses to voluntarily report information periodically.

CONTACT: info@evercel.com

Datatrade > Contact > News > Printronix Sell Thermal/AIDC Product Line to TSC Auto ID Technology