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Allied buys Alio and Ormec to boost its precision portfolio

05 November, 2021

The motion controls manufacturer Allied Motion Technologies has bought two US-based businesses: the nano-precision linear and rotary motion specialist, Alio Industries; and the electromechanical automation system and motion controls manufacturer, Ormec Systems. Allied is paying $20m for Alio, consisting of $15m in cash and $5 million stock. The financial terms of the Ormec acquisition have not been revealed.

Colorado-based Alio, founded in 2001, designs and manufactures nano-technology motion systems for use in applications such as silicon photonics, micro assembly, digital pathology, genome sequencing, laser processing and microelectronics. Its products include the patented Hybrid Hexapod, which provides six-axis point precision repeatability, as well as air bearing systems, linear and rotary nano-precision systems (with mechanical or air bearings guides), and systems customised for atmospheric, clean room, and ultra-high vacuum environments.

“Alio is well-recognised for their technology/know-how and expertise in nanometer-level positioning, and we are very excited to add such high precision positioning and robotic technology solutions to our already powerful portfolio of motion solution offerings,” says Allied’s chairman and CEO, Dick Warzala. “Equally important is Alio’s culture and passion for innovation, customer service and product quality – all traits that align well with what we have built at Allied. We expect that the business can grow rapidly as we leverage our joint channels to market and bring scale to their operations.”

Ormec Systems, founded in 1982 and headquartered in Rochester, New York, has 25 employees. It supplies automated motion control systems that integrate motion and logic controllers, servo drives and motors, linear motors, actuators, HMIs and I/Os. Its portfolio includes multi-axis controls, drives and actuators for automation and aerospace customers. Dr Edward Krasnicki, who has been Ormec’s president and CEO for 19 years, will continue to lead the company under Allied.

“Ormec is an excellent bolt-on acquisition that strengthens our technical expertise and adds a higher level of precision motion control systems and solutions to our offerings,” Warzala comments. “In addition to its products, Ormec designs and manufactures complete electromechanical and software solutions for custom automation applications. We are very excited to add such a highly experienced and capable team to Allied.”

According to Krasnicki, joining forces with Allied will provide “additional talent and capabilities for Ormec to enable us to scale more rapidly and compete more effectively. We believe our electronic, software and mechanical engineering expertise that creates high value electromechanical solutions, when combined with the One Allied approach to providing controlled motion system solutions to its customers, creates an excellent foundation from which to further expand our market reach.”

Alio claims that its Hybrid Hexapod technology is “orders of magnitude” more precise than traditional hexapods as well as 100 times stiffer and 30 times faster

Allied Motion recently reported third-quarter revenues that were up 9% to $103.5m. It also won record orders worth $119.9m – up 35% year-on-year. The industrial and vehicle markets each account for about one third of its revenues, followed by medical on 21%.

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