LSI Industries Wins LED Retrofit Contract

LEDs Magazine reports that LSI Industries Inc. (Cincinnati), an image-solutions company dedicated to advancing solid-state LED technology in lighting and graphics applications, has been selected by a major petroleum/convenience store retailer to upgrade and re-image its canopy lighting, site lights, and security lighting on a nationwide basis utilizing LSI's recently introduced solid-state LED Crossover lighting fixtures.

The initial phase of this program will involve the conversion of more than 1,100 individual retail stores. LSI believes this program represents the largest single national conversion of conventional-to-LED based lighting ever undertaken.

LSI's graphics division will also retrofit exterior fascia graphics lighting using LED technology for the convenience stores.

The company expects to earn revenue of $22-23 million from this phase of the project. Additional follow-on conversions for this customer's stores are also possible.

Also, LSI has reached an agreement to acquire a Columbus, OH-based business, ADL Technology, and related companies, that design, engineer and manufacture custom-designed circuitboards, assemblies, and subassemblies used in various applications including the control of solid-state LED lighting.

Subject to completion of due diligence and finalization of a definitive purchase agreement, this acquisition is expected to close before the end of July. The purchase price is expected to be approximately $13 million, a significant portion of which is expected to be shares of LSI's common stock, plus the assumption of approximately $4 million of long-term debt.

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