Arecont Vision, provider of IP-based megapixel camera and video surveillance solutions, announced the acquisition of its assets by Costar Technologies Inc. has been approved by the bankruptcy court. Arecont said in a press release it anticipates the sale will close on July 13, 2018.
As previously announced, Arecont Vision initiated proceedings under chapter 11 of the United States Bankruptcy Code in the District of Delaware in May, 2018 and has achieved its goal of moving through this process quickly.
After the closing of the sale, upon emergence the assets formerly operated by Arecont Vision will begin operating as Arecont Vision Costar LLC and be part of Costar, a U.S. corporation that designs, develops, manufactures and distributes a full range of products for the video surveillance and machine vision markets.
“Costar’s family of companies, composed of CohuHD Costar, Costar Video Systems, Innotech, and IVS Imaging, is a great strategic fit for Arecont Vision providing synergies that can be leveraged to grow our business in new market verticals and product areas,” said Raul Calderon, COO and general manager, Arecont Vision. “Costar provides resources that will enable Arecont Vision to continue to innovate and lead the market. I am proud of our team, and we are grateful for the support, patience and continued commitment of our employees, suppliers and customers, as we look forward to becoming a new Costar business.”
Arecont has been successfully operating under normal business conditions throughout the bankruptcy process, did not experience any layoffs, and continued the introduction of its new Contera IP cameras, video management system, Web services, and cloud managed recorders, according to a press release. Under Costar’s leadership, substantially all of Arecont’s employees will be hired by Costar, customer programs and services will continue and investments will be made into the development of new, industry-leading products.
“The acquisition of the assets of Arecont Vision expands Costar Technologies’ video surveillance platform by strengthening our product line,” said James Pritchett, Costar president and CEO. “It supports Costar’s strategy to become a leader in the video surveillance industry, transitioning from a value-added OEM product company to a manufacturing based and design company. Along with our other recent acquisitions, the Arecont acquisition increases our manufacturing and design from approximately 50 percent to 75 percent of our revenue.”
Court filings as well as other information related to the restructuring are available at www.omnimgt.com/arecont.