Dewey Electronics to Expand Military Generator Product Lines with Asset Purchase from Goodman Ball

The Dewey Electronics Corporation, a maker of military power systems, has announced that it has signed a definitive agreement to purchase certain assets, rights of manufacture and intellectual property from Goodman Ball Incorporated, a maker of military equipment that is based in Menlo Park, California. The purchase of these assets is part of the ongoing liquidation of Goodman Ball by its parent company, C.E. Niehoff & Co.

The agreement includes acquiring the IP for two diesel generators, Model 4310 and Model 3310, intended for use on military vehicles, as well as several smaller unrelated product lines. The Model 4310 is a five-kilowatt 28V direct current (DC) auxiliary power unit (APU) currently deployed on the M113 Armored Personnel Carrier command vehicle. The Model 3310 is a 20kW DC APU under development for possible use on a future vehicle program.

The agreement includes acquiring the IP for two diesel generators, Model 4310 and Model 3310, intended for use on military vehicles.

As part of the agreement, Dewey will assume responsibilities to maintain certain Goodman Ball contracts with the United States Department of Defense that pertain to the acquired product lines. Currently, Goodman Ball does not have a backlog of orders for the generators included in the agreement.

Dewey Electronics will also take possession of Goodman Ball’s existing inventory for these product lines on a consignment basis and will pay Goodman Ball as the inventory is sold to customers. Dewey Electronics will also acquire the necessary tools, fixtures and intellectual property to manufacture and sell these product lines.

The product lines being acquired do not compete with Dewey Electronics existing product lines, and are not expected to have a material impact on Dewey Electronics Corporation’s operating results or balance sheet over the next 12 months. If Dewey is able to capitalise on the new opportunities through this agreement, there could be an accretive impact on future period results.

John Dewey, president and CEO of Dewey, said: "We are pleased to have an opportunity to expand our business through this agreement with Goodman Ball. And we are excited to be adding these larger DC APUs to our existing line of generators. In addition to pursuing future sales for these acquired models, we will also use the underlying technology to develop new larger hybrid diesel and battery based power solutions."

The terms of the agreement will not be disclosed.

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