SigmaTron International and Wagz announce merger plan

ELK GROVE VILLAGE - SigmaTron International Inc. said Wednesday it has finalized a merger plan with New Hampshire-based Wagz Inc., a privately held pet technology company.

The two companies signed a letter of intent last June to the proposed merger. Under the plan released Wednesday, SigmaTron would issue 2.44 million shares of common stock of SigmaTron to the shareholders of Wagz. This would result in the stockholders of Wagz owning up to approximately 28% of SigmaTron, and Wagz operating as a wholly-owned subsidiary of SigmaTron.

The merger is expected to close by the end of September and is subject to the achievement of certain milestones and the satisfaction of conditions by both parties prior to closing, SigmaTron said.

Wagz' mission is to combine the latest innovations in technology with practical pet expertise. The company, based in Portsmouth, New Hampshire, manufactures the Wagz Freedom Smart Dog Collar. Elk Grove Village-based SigmaTron is an electronic manufacturing services company that provides printed circuit board assemblies and completely assembled electronic products.

"The pet tech market has continued to grow as projected by market analysts and the pet space remains active and robust," said Gary R. Fairhead, SigmaTron's president and chief executive officer. "The pandemic has increased pet ownership worldwide, creating greater opportunities for the products that fall under the Wagz strategic vision."