SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
September 20, 1999
(Date of Report, date of earliest event reported)
COMPX INTERNATIONAL INC.
(Exact name of registrant as specified in its charter)
Delaware 1-13905 57-0981653
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification
incorporation) No.)
16825 Northchase Drive, Suite 1200, Houston, Texas 77060
(Address of principal executive offices) (Zip Code)
(281) 423-3377
(Registrant's telephone number, including area code)
(Former name or address, if changed since last report)
Item 5: Other Events
On September 20, 1999, the registrant, CompX International Inc., issued
the press release attached hereto as Exhibit 99.1, which is incorporated herein
by reference.
Item 7: Financial Statements, Pro Forma Financial Information and Exhibits
(c) Exhibit
Item No. Exhibit Index
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99.1 Press release dated September 20, 1999 issued by
CompX International Inc.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
COMPX INTERNATIONAL INC.
(Registrant)
By: /s/ Andrew Louis
-----------------------------
Andrew Louis,
Secretary
Date: September 20, 1999
[LOGO GOES HERE]
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PRESS RELEASE
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FOR IMMEDIATE RELEASE: CONTACT:
CompX International Inc. Joseph S. Compofelice
16825 Northchase Drive Chairman, President & CEO
Houston, Texas 77060 Tel. 281-423-3303
COMPX AGREES TO ACQUIRE MANUFACTURER OF DYNASLIDE(R)
HOUSTON, TEXAS . . . September 20, 1999 . . . CompX International Inc. (NYSE:
CIX) announced that it has signed a definitive agreement to acquire the business
of Yinjoy Corporation and certain of its affiliates ("Yinjoy"). Yinjoy produces
the Dynaslide(R) line of precision ball bearing drawer slides in two
manufacturing plants in Taipei, Taiwan. The purchase price of $11.5 million in
cash includes all the assets and operations that produce the Dynaslide(R)
products.
Yinjoy has been producing proprietary ball bearing drawer slides since 1986.
Substantially all of their sales in the last several years have been to office
furniture customers in the United States and Europe. The Dynaslide(R) product
line is complementary to CompX's existing Waterloo(TM) and Thomas Regout(TM)
slide product brand names. CompX believes that Dynaslide(R) is one of the lowest
cost producers of precision ball bearing drawer slides in the world and enables
CompX to offer products to its customers at the low, middle, and high end
requirements of the market.
For the last two years, Yinjoy's historical sales and EBITDA have averaged $11
million and $3 million, respectively. The transaction will be financed with
existing cash at CompX. The transaction is scheduled to close by the end of
October and is subject to certain conditions, including, but not limited to,
regulatory matters, continuing due diligence, and a restructuring among Yinjoy
and its related affiliates.
Joseph S. Compofelice, Chairman and CEO of CompX, stated "This acquisition is
far more valuable to CompX than its size suggests. CompX now becomes the only
precision ball bearing slide producer with a low cost manufacturing presence in
each of North America, Europe and Asia. In addition, we are the only slide
producer that can also supply large office furniture customers a package that
includes locks and ergonomic products for the office. CompX believes that as its
largest slide customers focus on lowering the `total cost' of components, the
breadth of the CompX product line and its strong balance sheet put CompX in a
position of competitive advantage."
CompX is a leading manufacturer of ergonomic computer support systems, precision
ball bearing slides and locking systems.
Statements in this release relating to matters that are not historical facts are
forward-looking statements based on management's belief and assumptions using
currently available information. Although the Company believes the expectations
reflected in such forward-looking statements are reasonable, it cannot give any
assurances that these expectations will prove to be correct. Such statements, by
their nature, involve a number of risks and uncertainties that could
significantly impact expected results, and actual future results could differ
materially from those described in such forward-looking statements. Among the
factors that could cause actual future results to differ materially include, but
are not limited to, general economic and political conditions, demand for office
furniture, service industry employment levels, competitive products and prices,
the introduction of tariff or non-tariff barriers, potential difficulties in
integrating completed acquisitions, possible disruptions of normal business
activity from Year 2000 issues and other risks and uncertainties detailed in the
Company's Security and Exchange Commission filings. Should one or more of these
risks materialize (or the consequences of such a development worsen), or should
the underlying assumptions prove incorrect, actual results could differ
materially from those forecast or expected. The Company disclaims any duty to
publicly update such statements whether as a result of new information, future
events or otherwise.
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