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Mad Catz Completes Saitek Acquisition

11/21/2007 08:21:00 AM Eastern

San Diego — Mad Catz Interactive announced on Wednesday that it has completed its $30 million acquisition of Saitek.

Mad Catz said it expects the acquisition to be added to its fiscal 2008 earnings and cash flow.

Darren Richardson, president and CEO of Mad Catz, said in a statement, “Saitek immediately advances Mad Catz’s industry position as one of the world’s leading games peripherals companies and provides us with a strong and established presence in the PC peripherals business. We are excited to move forward with the combined Mad Catz and Saitek team to profitably grow both the console games and PC peripherals businesses and, most importantly, to capitalize on the opportunities our combined capabilities create to meaningfully grow shareholder value.”

The $30 million purchase was comprised of $15.5 million in cash from Mad Catz’ cash on hand; borrowings under the company’s existing credit facility; as well as the issuance to the seller by Mad Catz of $14.5 million of convertible notes, according to the company.

Mad Catz manufactures and markets accessories under its Mad Catz, GameShark and Joytech brands for video game systems; publishes video game software; and recently began shipping its AirDrives and AirDrives for Kids interactive earphones.

Saitek manufactures CE accessories and multimedia audio products.