Optelecom-NKF, a specialist in the large scale surveillance products (including video over fiber) has announced that TKH Group will acquire them. While the acquisition was at steep premium to the current market price, it represents a steep decline to the company's value from just a few years ago. Given the structural shift of the large scale surveillance market to IP networks, Optelecom-NKF struggled and revenue fell significantly.
At the purchase price of $2.45 USD per share, the total price is approximately $9 Million USD (see Optelecom's Google Finance profile). In 2008, the company's annual revenue was about $45 Million USD, falling to Q2 2010 revenue of $7 Million USD (an annual run rate of under $30 Million). The price to sales ratio is about .3 which is extremely low even for the physical security industry where a ratio of 1 is typical and 2+ is good.