On November 4, LightNOW reported that Carmanah Technologies, a manufacturer of solar LED lighting and power systems for industrial applications, had entered into a process to acquire Lightech Electronic Industries Ltd., an Israeli manufacturer of power supplies for LED lighting, for $18.5 million. The agreement and plan of merger had been entered on September 21, 2010.
On November 10, 2010, Carmanah notified Lightech of Carmanah’s unilateral termination of the agreement and plan of merger.
Lightech told LightNOW that Carmanah’s stated reasons for terminating the agreement are entirely without merit and that Carmanah has failed to discharge its obligations under the agreement.
In response David Schreiber, Chairman and CEO, said “Carmanah has missed an opportunity to grow its business and create value through the merger with Lightech. Lightech continues to show strong and profitable growth in its core OEM market in Europe and North America, providing state-of-the-art power supplies for the rapidly growing LED lighting and signage markets, with focus on quality dimming and energy efficiency. We have confidence in our excellent team and strong customer relationships and are very excited about ground-breaking products coming to market over the next few months.”