The deal is subject to working capital adjustment and is comprised of $15.5 million in cash from Mad Catz’ cash on hand and borrowings under the Company’s existing credit facility, as well as the issuance to the seller by Mad Catz of $14.5 million of convertible notes.
Saitek’s product lines include chess and intelligent games, PC games accessories, PC input devices and multimedia audio products.
Saitek’s 120 employees in product development, sales and marketing, distribution and finance/administration are expected to join Mad Catz. Saitek has offices in the UK, Germany, France, the US, Hong Kong and China.
In its latest fiscal year ended February 28th, 2007, Saitek generated over $43 million of net sales and its gross margins exceeded those generated by Mad Catz in its latest twelve months.