PennEngineering anticipates that a significant portion of its future growth will come as a result of increasing its offerings to current and emerging markets. With a track record as a successfully diversified manufacturing and services company, PennEngineering considers the acquisition of companies to be the preferred method of increasing those offerings and gaining entry into new markets.

PennEngineering's divisions are involved in an ongoing and aggressive strategic growth initiative to maintain their dominance in selected niche markets through evolution and innovation, by introducing new products and services in anticipation of customer needs and by increasing their market share. An example: extensions to the core businesses in motors by way of adding evolutionary integral electronic controls and customization options. Add-on product lines and the acquisition of smaller competitors and complementary technologies are all routes being considered, as are joint ventures, equity participation, and alliances.

KEY ACQUISITION CRITERIA
A record of successful growth, both top line and bottom line, strong management, excellent leadership, a significant niche market position, brand recognition, and a proprietary core technology are all prerequisites for consideration as a PennEngineering acquisition candidate. The ability to function and to continue to grow independently with minimal supervision is essential criteria in a prospective acquisition.

REPRESENTATIVE AREAS OF INTEREST
PennEngineering seeks companies that offer technologies or products complimentary to existing product lines or extensions of those product lines. Examples for the motor segment include, but are not limited to, drive controls, clutches, brakes, and linear and stepper motors. Examples for the fastener segment include, but are not limited to, unique fasteners, latches, handles, access hardware, adhesives, and elastomeric products. Examples for the distribution segment include, but are not limited to, strategic distribution locations not presently served by existing channels, products that can be stocked and sold by PennEngineering's distribution centers, software that improves an OEM's inventory control.

In addition, PennEngineering will consider fragmented industries where consolidation of those fragments can lead to a significant market presence. Examples include, but are not limited to, thermal management, flexible circuitry, EMI/RFI suppression, and lighting products.

OWNERSHIP
PennEngineering has made several successful acquisitions of privately owned companies, and recognizes that many companies wish to maintain their ongoing identity. Private owners desiring an orderly estate transition while preserving employee welfare are especially catered to with creative acquisition strategies.

Link to Most Recent Acquisition