Sigmatron-Wagz Agree For Merger Deal

Electronic manufacturing services company Sigmatron International Inc SGMA agreed to issue 2.44 million shares to pet technology company Wagz Inc shareholders.
The shares are worth $12.34 million based on Sigmatron's Tuesday closing price of $5.05.
It follows a Jun. 4, 2020 Letter of Intent between the companies, where Wagz will own a 28% stake in Sigmatron and become its subsidiary under the arrangement. The deal is likely to close by Sep. 2021.
Wagz continues to be attracted to Sigmatron to vertically integrate its IoT opportunities, thereby allowing it to gain more significant margins and better serve the market.
Sigmatron plans to continue in its traditional electronic manufacturing services market.
Price action: SGMA shares traded higher by 6.53% at $5.38 on the last check Wednesday.

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