Audiovox to Buy Terk in Satellite Radio Move

Audiovox to Buy Terk in Satellite Radio Move
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Audiovox wants to grow its share of satellite radio equipment, and plans to acquire Terk Technologies Corp. for $13.6 million plus a debt agreement based on future revenue targets. The agreement was described as preliminary.
Terk makes satellite radio antennas. It has a deal with XM Satellite to provide and develop car stereo aftermarket products, according to the Associated Press.
The companies estimate Terk will have 2004 sales of about $50 million. Audiovox posted revenue of $1.32 billion for 2003, according to the report.
The chairman of Audiovox stated, "Terk brings significant expertise in the specialized satellite radio industry, which we have identified as a fast-growth high-tech market, and we believe it will serve to strengthen our position for future growth in that segment."