An Omaha-based company has agreed to buy Olathe-based Elecsys Corp. for $70.5 million, the companies announced Tuesday.
Elecsys, which had 135 employees at the end of April, said the sale to Lindsay Corp. requires approval from its shareholders. Chief executive Karl Gemperli declined to comment.
The deal values the company at $17.50 a share, nearly 83 percent higher than the closing price before the afternoon announcement. Shares fell 76 cents during trading Tuesday, closing at $9.57.
Elecsys shares have fallen sharply since closing at $15.21 on Aug. 29. They have traded near or above $15 a share three other times this year.
In the announcement, Lindsay said Elecsys is “important to our long-term strategy of leading the market in advanced technologies for managing water use efficiency.”
Elecsys sells systems for communications between machines, including remote monitoring, industrial data communication, mobile data acquisition and wireless communications technologies. Its customers are in the agriculture, water management, transportation and safety systems industries.
Sales totaled $30.5 million in the company’s most recent fiscal year, up 20 percent, and produced a profit of $2.5 million, up more than 46 percent.
The companies hope to finish the deal in January.
Lindsay had $618 million in revenue during its most recent fiscal year and employed 1,200 worldwide, including at manufacturing sites in six countries. It makes mechanized irrigation equipment, water management systems and infrastructure products for highway safety and railroads.