Teledyne Acquiring FLIR

By John Honovich, Published Jan 04, 2021, 08:57am EST

Teledyne has acquired FLIR for $8 billion but is this a good outcome for FLIR?

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Inside this note, we examine the combination and, in particular, what this means for the future of FLIR in physical security.

Executive *******

**** ** * **** but *** ***** ******* for ****, **** *** company ***** ******** ** an ******* ********* ** ~$56 *** *****, ********** lower **** *** *****'* 2018 ****:

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*******, ***** *** *******'* ambitions ** ** ***** $100 *** ***** *** to ***** ****** ******** *** ******, *** took **** ** ****, **** ** *** a ************ ****** *******.

** * ********* *****, they *** ***** ******** for **** **** ******'* ******* ~$*.* ******* *** ~45x ****'* ****** ** ~$171 *******.

Teledyne's ********* ******* ***** *** *************

********'***-**** *********** ************ * ******, ********** unambitious, ****. *****, ******* redundant *****:

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**** * ********* ***********, those $** ******* ********* are ****** **** ** FLIR's **** *******, ** they ***** ** ********.

*** ****** ***** ******** emphasizes ** **** *** companies *** *************:

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** **** *** ******* Teledyne ************, *** ** first ******, **** ***** roughly ****. ***** ** some *******, *.*., ******* vision *******, ****** ** may **** **** ** minimum ** ***** ** Teledyne's ******* *********.

Teledyne ******** - *** **** *****, $* ******* ** *******

***** **********-*************** *** **** *****, the ******* **** ************* more ******* **** **** (i.e., $* ******* *** Teledyne ** $*.* ******* for ****).

**********, ********'* ******** ********* the **** ** ***** recognition *******:

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********'* **** ******** ******** financials:

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Physical ******** ******** ******?

*** **** *** **** announced *** ** ********* remarks **** ******** ** FLIR's ******** ******** ********, which ** **** * fraction ** ****'* ******** (5% ** ****).

*** *********** ** **** this **** *** **** FLIR's ******** ******** ******** since (*) ** *** been********** *** *** **** few *****, ** **, (*) it *** ***** **** before *** **** ****** even ******* ** **** of ********, *** (*) physical ******** **** *** offer *** ************ ****** opportunities *** ********'* **** business.

**** ***** ** ***** not ****** ********/**** ** cut **, ** **** as ****** ** ***** future *********** ** ******** security.

Vote / ****

Comments (31)

John Honovich

IPVM | 01/04/21 01:59pm

***********'* **** ** *** deal** ** * ***** at **** **, ** will ****** *** ****** with ******** **** *** call.

Isabella Cheng

IPVMU Certified | In reply to John Honovich | 01/04/21 07:19pm

********/****'* ******** **** ** the *********** **** ******* today *** ** ************.

*** ******** *** ********** below, *** ******** ***** are ********:

  • ******* ******** ************ ********* ******** ****** Mehrabian** *** ************* **** and ******** *** ** each *****, ********* *&* synergies, * ******* ********* to ********* *********, *** a ****** ** ** market ******** **** *** company *** ***** * range ** ******** ****** all ***********
  • ******** **** ***** *** no ***** ** *********** change *** **** ******** or ****** ***** ** FLIR's ********, ******* "**** FLIR ** ***** *** is ******* *** ****." No *** ** *** call ********* *** ********* of ********** ********/***** ************. FLIR *** *** ****** did ******* ****'* ******** over *** **** * years *** ***** **** from **********/******** ****, ***** most ** ***** ************ would **, ******* *** industrial/defense ********.
  • ******** **** *********** (***) screening *** ********* ** the ****, *** ******** noted *** ********** *** positives *** **** **** only *********.

**************** ********

  • ******** ** ************* **********
    • ******** ******** ** *** only **** *****,*****-***** ************ using ***- ******* ******* telluride. **** ** "**** high-end, **** *********."
    • **** ** ******** *** outside ** **** ******** concentrates **, *** **** is ***** ** ********* semiconductor ********* *** ************
  • **** *** *** ****** comments: **** ** *** last * ***** *** had ********* ***** **** from **********/******** ** **********/**** industrial *** ******* ********
    • **** *** ******** "**** different *********, ****** ***** on ********** *********** *** operational **********, ******* ******** models."
    • **** ****’* ***********, **** acquisition ***** ***** ************* and ***********.

*&* **** ********

  • ********** *******/******? **********?
    • ******* **** *** ******* are “**** *********” *** serve ********* ******** ** the ******, ** ****** anticipated *** ********** ********
  • ********** ** *** *** deal **** ********?
    • ******: **** *** “**** admired ********’* ***************”
    • ****** ********* ***** *********** for *** **** **** approached **** *** ***********
  • *********/ ******** ** *** deal
    • ****** ***** ** **** keep ******** ******** **********-*****
  • ********* ********** *** *** sales ** ****
    • ******** ***** **** *** market ** *** *******
    • **** ** ********'* ******* have ******** ******* ** the ******** *** ******** seeing ********
    • ******** ******** ** ***********, digital *********, ******** ******** rest ** ****’* ********* will **** **** *** make ** *** *** decline
    • *********: ******** ***** *** low, ** ** *****’* any **** ** **** use ** ********, *** is *** ****
  • *** ** ***** **** synergy ****
    • ** ****, ******** **** $31 ******* *** ** procurement ** ******** # of *********, ********** **********, negotiating- ******* ******* ****** acquisition
  • ********** ************ ** ********? China ************?
    • **** ******** ** ***** is ********** *****- *** markets *** ***** ******** and ******
    • ******** ***** ******** ** about *%, *** **** across ********* ********. * lot ** ******* ** instruments ** *** ******* monitoring *** **** ** China. ** ******* *******, less **** *%, ~*%.
    • ******** ************ ***** **** overseas **** ** *** US
  • ********** *******
    • *********: ********* *** ***** all ****
    • **** ****** * ******** portfolio
  • ********* ************? ******** ** operate **** ********* *** same ***?
    • ** ***** ** ****** because *** *** **** operates ***** ** **** well *** ****.
  • ********/**** ******** ** ******
    • ******** ****** ** **** will ** * ****** higher **** ***-******-***** ******* growth
    • **** ********** ** **** growth *******- ******** ******, defense
  • **** *** ****** ***** margins **** ********, ********* the *** ***** ******* together, ********’* ***** ******* will ********
  • ******** ** ****'* ****** earnings
    • ****’* ******** *****’* *****. How *** ******** **** FLIR ****?
      • *********- **** *** *** grown ** *** **** that ******** ***, *** they **** * ***** business ********* *** * huge ********* **** ***********. (quality, ********** *******, **********).
    • **** ******** ********* ******* in **** **** *** not ***** *** **** withdrawn (***-**** *******, **** cash ****). *** *** that ******? *** ** we **** **** **** won’t ****** *****?

      • **** *** ** **** with “********” ******- ****** control ************

      • ******** *** **** **** be ************, ***********- *** had * ****** ******* of ******* ******* **** its ** ***** *******

      • **** ** ********’* **** on ****’* ******** *******- Teledyne *** ****** ** “almost **********” **** ******* and *** *** **** a ******* ** *** business

  • ************* *** *&* ********?
    • **** * ******* **** to ****** *** **** a ***** ** ******** across *** ***********, **’* a **** ****** ******* point
    • *&* ** *************- ******** and **** **** ****** ~8-10% ******* ** *&*, can ******* **** **** other's *&*

Undisclosed Manufacturer #5

In reply to Isabella Cheng | 01/04/21 10:27pm

** ***** ** ****** because *** *** **** operates ***** ** **** well *** ****.

** **** * ****? Them ****** **** ***** a) ******** ****'* ** their *** ********* ** b) **** *** ************* misleading ********* - ***** a *********** ** ****.

**** *** *********** * mass ****** ** ****** over *** **** *.* years - **** **** the ********** **** - most ** **** *********** and ************* ******* *** engineers. * ***** ***** the ******* ****** ** employees ** *** **** government ******** *** ****** dramatically **** *** **** three ***** ** ***** Teledyne ** ****** * respectable ******, *** ****** who ***** **** ****** have **** ****** *** or ***** **. ***** is ***** ****** ***** they *** ******* *** it **** ** * rude ********* ** **** don't **** **** *******.

*** ** ******* *** Security ***** *** ******** into ******* ******** ******* this **** ****** * chaotic *****. **** ***** offers ******** ******** *** they **** ** **** Security ************ ** **** that ********.

***** ** *** **** that *** "****** ****" at **** **** *** last *** *****, ** matter **** ******** *** look **. ********* ******** can *** ****'* ***** in ***** *** **** realize *** ********* **** has ****** **** *****. But ** **** **** no ***** *** ****** then *** *'* **** that **** ******.

John Honovich

IPVM | In reply to Undisclosed Manufacturer #5 | 01/04/21 10:59pm

***** ** *** **** that *** "****** ****" at **** **** *** last *** *****, ** matter **** ******** *** look **. ********* ******** can *** ****'* ***** in *****

******* ********. **** ****** Teledyne / **** **? It's * **** ******* so **'* **** ** fix / ******** ** many ****** ***** ** so **** ********* *****.

Undisclosed Manufacturer #1

In reply to John Honovich | 01/04/21 06:24pm

**** ***** ****** **** the ******* **** *** inside.

*****, **** *** ** fast ** ******** *** entire ********** ******** ********. It's ******* **** * distraction, ********* ** ** a ***********.

******** *** ********** ************ business *** ******** ****** that. **** ******** ********** WaterPik.

********* ** *** ********** controls ******** ** ***** retaining, ***** ** ********'* abilities *** ******* ******.

****** ******* ** *** environmental *** ******* ********* business ***** **** *** small ***'*.

*** **** * ***** on ** ****.

Undisclosed #2

In reply to Undisclosed Manufacturer #5 | 01/04/21 05:18pm

* *** *** **** general ********. **** **** used "****" *** "*******" in *** **** ******** I ****** ****** ** my ******* ***** *****.

********'* ******** ** **** made ** ***** **** the *** ********* *** conducted **** * ***** of **** *** ********. My ***** ** **** their ********** *** *** empty *** ***** **** just ** ******** **********. It ***** ******** **** major ******* ** *** legacy **** **** *** products ***** *** *****. If **** *** ****** executing **** **** ******'* have *** ** **** BELOW ***** ******** ** week ****.

Undisclosed Integrator #11

In reply to Undisclosed Manufacturer #5 | 01/07/21 01:32pm

******* *** ***** **** is *** ******** *********** acquisition ****. ** ****'* making *******, ******** ****** calm. **** **** ***** years *** *** ***'* recognize *** ******* ** what's **** ** **. Synergies **** *** **** period. **** ** **** production *** ** *** US ******** ** *** to *** ***** *** boost *********** ******. ****** the ********* *** *********. Seen ** *** **** times ** ***** ******** different **** ******. **** of *** *** ***** small *************** ********* **** be *** ********, *** that **** *** * great ******* ******, *** those ** *** ******** know *** **** ****. All ******* ** ** large ************ *** ****** what **** **** ***** for *** **** ****.

Undisclosed Manufacturer #1

01/04/21 02:01pm

* *** ******* *** the ***** ***** ********** security, *** ******** *** border. **** ***** ******* to ** *********** ***** the *********** ** *****.

Undisclosed Manufacturer #8

In reply to Undisclosed Manufacturer #1 | 01/06/21 08:28am

***** *********** *** *** only "****** ****" *** the **** ******** ********, I **** **** *'* talking *****

Undisclosed #2

In reply to Undisclosed Manufacturer #8 | 01/06/21 02:55pm

**, *** ***** *********** was ********* ******** ** a **** *********** **** never ***** ******** ** the ********.

Undisclosed #2

01/04/21 08:45am

* ***** ****** ******** to ******** ** ****** FLIR's ******* ******** ******** of *******/******* ******** ********, and *** ********** **** in *** ******** *********.

*** ******** *** *** been ****** ******** **** a ******* *********** *** customer ****** *********** *** the **** ******* ***** now. *** ******* ******* are ****** ***/*** ******** with ***** ******** **************, none ** *** **** stand *** ** ***** market ******* ** *** way. **** *** ** modern ***** ********* ** any ****, *** ** would ** ******** *** Teledyne ** *** *** invest ** ********** ****.

**** *** **** **** being * ****** ****** in ******** ** ****** little ** ***** **** is ******** ** *** space, ** * ******* product ** *** ***.

**** ** ******* **** acquisition, **** *** ********* put ********** ** * path ** **** *** security ******. **** **** lost *** ****** ** the ********, *** *** remaining **** *** *** known *** ****** ****** or **** ****** ********* and ********. **** *********** might **** ***** ** the ****** **** **** already ** ** ****** turn *** *** ****** in *** ******** ******.

* ****** ***** **********/******** segment ** **** ***** Teledyne, *** ***** *** the ****** *** ******** like ****** ******* ******* that **** ** *** see **** *********** ** commercial ********, **** ** critical ************** *********.

John Honovich

IPVM | 01/04/21 02:49pm

******* **** ****'* *** email ** ********* ** the ****:

** ******* ****** **** Teledyne, ** **** ****** a ******** ******** *** growth *** ********** *** be **** ****** ********** to **** *** ******** needs ** *** *********, drive *********** ***** *** create *** ************* *** our *********. ********, ** will ***** * ******** complementary ***-**-*** ********* ** sensory ************ *** *** key ******* *** ************ across * ****-********, ****** customer ****. ** ********, we **** ******* ******** models, ********* ******* ********** markets *** ********* **** sensors, ******* *** ****** systems.

****** *** ********* *** financial ******** ** **** transaction, **** *’* ****** excited ***** ** *** common ***** ** ********** innovation *** *********** **********. Importantly, ********’* ******** ** our ******* ** * testament ** **** ******* and *** **** ** have ******** **** *** last ***** ***** ** a ******* ** *** space. * ****** ******* this *********** **** ****** us ** ***** ** our *************** *** **** open ** *** ************* for *** *********.

Next *****: ******** ** *****

*** *********** ** ******** to ***** ** *** middle ** ****. ***** then, **** *** ******** remain ******** ********* *** it ** ******** ** usual. *** **** *** you *** **** ** by ********* ******* ** our **** *** ******* and ** **** ***-**-*** responsibilities. *** ******** **** lives *** ***********, *** now **** **** ****, our ********* *** ******** on ** ** ******** supporting ****.

**** *****, ******* ******* me ** *********, *** question ** **** ******* to ********** ***** ** the ******** ** *** acquisition ********* *** ********** are *******.

Undisclosed #2

In reply to John Honovich | 01/04/21 05:01pm

*** ****** ****** ****, and ** ** "****** excited" ***** **** ***********. I ********* ***** ** had **** ** ** with ** ** *** grand ****** ** ******, I ***** ****'* ***** realized **** **** * bad **** ** ****** him *** **** *** aspects ** ****, **** were *** ** * good ******** ** ***** in ******* *** ** recover *** ***********.

Undisclosed Manufacturer #1

In reply to Undisclosed #2 | 01/04/21 05:31pm

******, * **** *** didn’t **** ****, ***** Earl ******* ******* *** company, **** ****** *** vision ** ******** *** commercial ****** *** ****** dependency ** ********** ******** (Domestic *** *******).

*** ******* **** **** Andy ** ************* ** a *** ****** ********* ******* *** ******* the ****** ****. ******* for ******* ******** ** **** along.

* *** ** ****** for *** ****** ** hit *** ***** **** Jim, ** *** **** wasn’t ** *** ** I ********.

**** ********* (**** *** Teledyne) *** **** ** of **** ************. ***’* see *** **** ** where **** ***********.

Undisclosed #12

In reply to Undisclosed #2 | 01/07/21 04:04pm

******** ** ******'* ****** when ** **** **** addressed *********** *****. *** one ***** *** ***** taking **** ** *** employees ** *********. ******** dev *** ******* ***** gutted ** **** *** rest ** *** ******** video *****. * *****. With * ********* ****** there ***** **** **** a **** ******** *******.

Undisclosed Manufacturer #3

01/04/21 05:34pm

* ***** **** ** a ************* ***********. ***** of *** ******** ** Lidar *** **, **** throw ** ****** *****. Teledyne ******* **** ******* analytics ** *** ********* side ** **** ********, hopefully **** **** ******* down ** *** ******** side.

Undisclosed Integrator #4

In reply to Undisclosed Manufacturer #3 | 01/04/21 01:32pm

*****, *** ** ***** like **** ***** ** an *********** ** * security ******* ** *** not ** **** ** at *** ** ********, it ***** ***** ********* rarely ****** *** ******** becomes * ***-****** **** child ** *** **** company. (********* ** *** red-haired **** ******** ****.)

***** *** **********, ** course, **** *****/****/********* ***** being ***.

Undisclosed Integrator #6

01/05/21 01:15pm

********? ****. ****, * want ** ************ ******* made ** *** **** company **** ***** ** forklift ***** *** ** frickin *********. ***, *** many ****, *********, ********, etc *********** **** **** industry (*** *** *********) have ** **** ****** up *** *** ****** someone ******* *** *** just *** * **** idea?. ** ***** ** me **** *** ******* degree ** ********** * corporation ** **** ******* aspires ** ** *** "mediocracy **** *** ******** of **** ** *** trades *** ****** ** none". **** *** ************ division ** **** ******** that ******** ****** **** for ***-************* ********, *** their ******** **** ** de-prioritized *** ******* ** death ** *********, *** cynicism **** **** *** apathy *** *** ****** will **** *** ******** and **** *** ** essential ******* ** *** surveillance ******** **** ***** jumping *** ****** ** into ******* ** *** their **** *** *** whole ******* **** ***** with ******* **** ** shit. ** *** ***** about *** ********* *******. Just **** *** **** the ***** "****" ***** along.

Undisclosed Manufacturer #7

01/05/21 10:19pm

***! ***** **** ** have * ****** ** angry **-**** ********* ****. I'll *** * ***** name **** ** * wanted ** *** ****, but **** *** ****** behind ***********, ** * will ****** *********** ** well. ** ***** *** how **** *** ***** out.

Avatar

Alexander Ignatenko

Luxriot | In reply to Undisclosed Manufacturer #7 | 01/05/21 10:38pm

***** *** * ****** of ********** *** ********* made ** **** ******** management, ** ****** *** by **** ********** ** regards ** *** ******** division. *******, ***** **** an ********** ****** *** there *** * **** chance ** ********* *** recover. *** (****) **** was ****** ******* *** security ******** *** * clear **** ** **** decisions *** ********. * have ** ***** ** was * ****** ******* to *** *** *** things ******* *** ******* has **** **** ** improve *** *********. **** Security *** * ***** place ** ** ** and *'* **** ******** for *** *** ****** and **** **********. **** Teledyne **** *** ********? Perhaps. *** "**** ** dead *** ***** ***", so ** ***** ***.

*.*. *'* *** ***** and *** ******.

Undisclosed Manufacturer #1

In reply to Alexander Ignatenko | 01/06/21 01:14pm

*’* *** *****, * sold ** ****** *** did ****.

****** *** ** *** Commercial ******** ********, *** a ***** **** ** the ********** ******** *** the ****** ******** *****.

Undisclosed Integrator #6

In reply to Undisclosed Manufacturer #7 | 01/05/21 09:55pm

*** ***** ****** *** FLIR. ** **** ******* whos ****** *********. **** it *** ***** **** out? *** ****, *********, Motorola ***. **** ***** anyone ***** ******** ** going ** ******* ***** surveillance ******** ***** *** multitude ** ****** **** already ***? *** ***** be **** ***** *** middle ***** ** * family **** * ****. Itll **** *-* **** before ******* ******** **** missing.

Vlad Kardashov

In reply to Undisclosed Manufacturer #7 | 01/06/21 02:20pm

* *** * ***** name **** *** ;)

Avatar

Brian Karas

In reply to Undisclosed Manufacturer #7 | 01/06/21 02:57pm

*******. **** ** *** ex-FLIR ********* * **** kept ** ***** **** are ****** ***** **** where **** ******.

Michael Chaffee

In reply to Brian Karas | 01/06/21 04:35pm

******. **** ***! ***** New **** *****

John Honovich

IPVM | 01/05/21 07:02pm

**** *******, **** ***+ responses:

IPVM Image

*******, *********** *** **** more ******** **** ************* on **** ****.

Undisclosed Integrator #9

01/06/21 03:19pm

** **** ** *** a **** ** * lot ** **** ******** for ********* ********, *** phased *** **** *** past ******* *****. ******* and ********** ******* ****** went ********.

Michael Chaffee

In reply to Undisclosed Integrator #9 | 01/06/21 04:39pm

**** *** ***** *** SightLogix ********* * ****?

Undisclosed End User #10

In reply to Undisclosed Integrator #9 | 01/06/21 05:32pm

** *** *** ****. Curious *** *** ******* in ** ******* ****? We **** **** **** ourselves *** ****** **** to **** ***** ** who ** *** *****.

John Honovich

IPVM | 01/06/21 04:33pm

******: **** ** *** (very ****)****** ********* *** ********/****. ** **** *** reviewed ** *** ******* it **** ** **** anyone ** **********.

Undisclosed #12

01/07/21 04:07pm

** ***'** ******* *** a **** *** *********** for **** ********, ***** out *****.

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