Dallas, Texas 11/25/2013 (Financialstrend) – The $17.81 million market capped Tyco International Ltd. (NYSE:TYC) has been on a roll, over the past few weeks.
Mixed Results From 4Q13 Operations
First was the continued appreciation in the company’s market valuation in spite of a less than expected revenue earnings disclosure on November 14. It recorded revenue of $2.76 billion and net income of $166 million for the fourth quarter. This was slightly higher than the $2.73 billion in revenue that the company had recorded during 4Q12 and the net income in 4Q13 was much bigger than the $480 million net loss the company had posted during 4Q12.
Immediately following the mixed results, the firm also announced that it has signed off on buying out a company Westfire which is expected to bolster the firms “special-applications fire protection services”. The acquired firm had its operations spread across U.S, Chile and Peru. The financial arrangements which consummated the deal has not been disclosed by either of the companies.
Synergies from the Buyout
Tyco International Ltd. (NYSE:TYC) President for Growth Markets Juan Mogollon has been quoted as saying, “This acquisition confirms Tyco’s commitment to its Growth Markets. Westfire’s engineering capabilities and service footprint in Latin America combined with Tyco’s comprehensive product portfolio focused on the specific needs of Growth Markets creates an exceptional combination of solutions to help our customers not just in Chile and Peru but throughout Latin America.” The new acquisition is expected to be made part of Tyco’s North American Fire Services division and it’s expected annual revenue of $80 million will also role into that divisions ledger book. With the acquisition, Tyco International Ltd. (NYSE:TYC) is expected to gain access to newer markets in both Chile and Peru for its wider range of products.
Tyco International Ltd. (NYSE:TYC) is a provider of industrial scale fire production company. It has close to 70,000 employees and has managed to bring in revenue of $10 billion in the past year.