As previously announced, Arecont Vision initiated proceedings under Chapter 11 of the United States Bankruptcy Code in May 2018, and has moved through this process quickly, the company says.
After the sale closes, 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 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. Costar provides resources that will enable Arecont Vision to continue to innovate and lead the market,” said Raul Calderon, COO and GM, Arecont Vision.
Arecont says it has operated under normal business conditions throughout the bankruptcy process, did not experience any layoffs and continued to introduce its new Contera IP cameras, video management system, web services and cloud management recorders.
According to a statement from James Pritchett, Costar president and CEO, the acquisition of Arecont increases Costar’s manufacturing and design from approximately 50 per cent to 75 per cent of the company’s revenue.
Under Costar, substantially all of Arecont’s employees will be hired by Costar, customer programs and services will continue, and investments will be made in the development of new products.