-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Kde4sDjJQIC2T9ZPbMxZAXfumjhrWkKHzsW2MST3FkAsRPpTWTL5V+sPxHXSQMsF 28U+zFGUJLvVMz865+LFkw== 0000950135-00-000442.txt : 20000208 0000950135-00-000442.hdr.sgml : 20000208 ACCESSION NUMBER: 0000950135-00-000442 CONFORMED SUBMISSION TYPE: SC TO-C PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20000207 GROUP MEMBERS: THERMEDICS INC GROUP MEMBERS: THERMO ELECTRON CORPORATION SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: THERMO SENTRON INC CENTRAL INDEX KEY: 0001007022 STANDARD INDUSTRIAL CLASSIFICATION: GENERAL INDUSTRIAL MACHINERY & EQUIPMENT [3560] IRS NUMBER: 411827303 STATE OF INCORPORATION: DE FISCAL YEAR END: 0102 FILING VALUES: FORM TYPE: SC TO-C SEC ACT: SEC FILE NUMBER: 005-48595 FILM NUMBER: 525917 BUSINESS ADDRESS: STREET 1: 501 90TH AVE NW CITY: MINNEAPOLIS STATE: MN ZIP: 55433 BUSINESS PHONE: 6127832589 MAIL ADDRESS: STREET 1: 501 90TH AVENUE NW CITY: MINNEAPOLIS STATE: MN ZIP: 55433 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: THERMEDICS INC CENTRAL INDEX KEY: 0000721356 STANDARD INDUSTRIAL CLASSIFICATION: MISC INDUSTRIAL & COMMERCIAL MACHINERY & EQUIPMENT [3590] IRS NUMBER: 042788806 STATE OF INCORPORATION: MA FISCAL YEAR END: 0102 FILING VALUES: FORM TYPE: SC TO-C BUSINESS ADDRESS: STREET 1: 470 WILDWOOD ST STREET 2: P O BOX 2697 CITY: WOBURN STATE: MA ZIP: 01888-1799 BUSINESS PHONE: 7819383786 MAIL ADDRESS: STREET 1: 81 WYMAN STREET STREET 2: P.O. BOX 9046 CITY: WALTHAM STATE: MA ZIP: 02254 SC TO-C 1 THERMO ELECTRON INC. 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ------------------- SCHEDULE TO TENDER OFFER STATEMENT UNDER SECTION 14(d)(1) OR 13(e)(1) OF THE SECURITIES EXCHANGE ACT OF 1934 Thermo Sentron Inc. ---------------------------------- (Name of Subject Company (Issuer)) Thermedics Inc. (Offeror) Thermo Electron Corporation (Affiliate of Offeror) ----------------------------------------------------- (Names of Filing Persons (Identifying Status as Offeror, Issuer or Other Person)) Common Stock, $.01 par value ----------------------------- (Title of Class of Securities) 883593 10 5 ------------- (CUSIP Number of Class of Securities) Seth H. Hoogasian, Esq. General Counsel c/o Thermo Electron Corporation 81 Wyman Street Waltham, Massachusetts 02454-9046 (781) 622-1000 - -------------------------------------------------------------------------------- (Name, Address, and Telephone Number of Person Authorized to Receive Notices and Communications on Behalf of Filing Persons) CALCULATION OF FILING FEE
- -------------------------------------------------------------------------------- Transaction Valuation* Amount of Filing Fee - -------------------------------------------------------------------------------- Filing relates solely to preliminary None. communications made before the commencement of a tender offer. - --------------------------------------------------------------------------------
* Set forth the amount on which the filing fee is calculated and state how it was determined. 2 [ ] Check the box if any part of the fee is offset as provided by Rule 0-11(a)(2) and identify the filing with which the offsetting fee was previously paid. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing. Amount Previously Paid: _____________ Form or Registration No.: _____________ Filing Party: ________________________ Date Filed: _________________________ [X] Check the box if the filing relates solely to preliminary communications made before the commencement of a tender offer. Check the appropriate boxes below to designate any transactions to which the statement relates: [X] third-party tender offer subject to Rule 14d-1. [X] issuer tender offer subject to Rule 13e-4. [X] going-private transaction subject to Rule 13e-3. [ ] amendment to Schedule 13D under Rule 13d-2. Check the following box if the filing is a final amendment reporting the results of the tender offer: [ ] 3 [LOGO] Thermo Electron --------------------------------------------------- 4 THE NEW THERMO ELECTRON - --------------------------------------------------------------------------- > Vision > Focus > Clarity > Growth 1 [LOGO] Thermo Electron 5 SHAREHOLDER VALUE - --------------------------------------------------------------------------- Medical > Dividend Products Existing New > Stock > Thermo Electron Thermo Shareholders Thermo Fibertek > Dividend 2 [LOGO] Thermo Electron 6 OUR GOAL - --------------------------------------------------------------------------- To channel all our resources - financial, human, technological - to become the preeminent instrument company in the world. 3 [LOGO] Thermo Electron 7 WHY INSTRUMENTS? - --------------------------------------------------------------------------- > Critical mass > Strong market presence > Experienced management > Strong cash flow > Broad technology platform 4 [LOGO] Thermo Electron 8 THE PLAN - --------------------------------------------------------------------------- > Sell businesses totaling $1.2 billion in revenues > Spin off equity of Thermo Fibertek and new Medical Products company > Spin in instrument companies 5 [LOGO] Thermo Electron 9 MAJOR DIVESTITURES - --------------------------------------------------------------------------- > Thermo Cardiosystems > Trex Medical > Thermo TerraTech > Thermo Coleman > Peek 6 [LOGO] Thermo Electron 10 PLAN PROCEEDS - --------------------------------------------------------------------------- Proceeds from Divestitures $ 1.0 BILLION Cost of Spin Ins $(0.4 BILLION) ------------- Net Increase in Cash $ 0.6 BILLION Invest all proceeds in new instrument company 7 [LOGO] Thermo Electron 11 SPIN OFFS - --------------------------------------------------------------------------- > Market leadership > Experienced management > Independent market identities > Balanced product mix > Strong growth prospects 8 [LOGO] Thermo Electron 12 MEDICAL PRODUCTS - --------------------------------------------------------------------------- Thermo Biomedical Thermedics Medical 1999E Revenues: $335 million 9 [LOGO] Thermo Electron 13 MEDICAL PRODUCTS - --------------------------------------------------------------------------- [Collage of photos representing the various businesses within the new Medical Products company, including neurodiagnostic testing, respiratory care, infant, audiology products, wireless patient monitoring, and medical polymers.] 10 [LOGO] Thermo Electron 14 THERMO FIBERTEK - --------------------------------------------------------------------------- Thermo Fibertek Thermo Fibergen 1999E Revenues: $225 million 11 [LOGO] Thermo Electron 15 THERMO FIBERTEK - --------------------------------------------------------------------------- [Collage of photos representing the various businesses within the new Thermo Fibertek company, including papermaking and recycling equipment, water-management systems, waste-recovery, and fiber-based consumer products and composites.] 12 [LOGO] Thermo Electron 16 THERMO ECOTEK - --------------------------------------------------------------------------- > Non-core asset > Maximize value > Goal: spin off in 1-2 years 13 [LOGO] Thermo Electron 17 - --------------------------------------------------------------------------- Thermo Electron will be a completely focused instrument company in 2001 14 [LOGO] Thermo Electron 18 THERMO INSTRUMENT REVENUES - --------------------------------------------------------------------------- (in millions) [Bar chart (without actual revenue numbers) showing increasing revenues from the Thermo Instrument business from 1986 to 1999 estimate, indicating in 1998 actual revenues of $1.66 billion.] 15 [LOGO] Thermo Electron 19 THERMO INSTRUMENT EBITDA - --------------------------------------------------------------------------- (in thousands) [Bar chart (without actual EBITDA numbers) showing increasing EBITDA for the Thermo Instrument business from 1986 to 1999 estimate, indicating in 1998 actual EBITDA of $294 million.] 16 [LOGO] Thermo Electron 20 THERMO INSTRUMENT STOCK PRICE - --------------------------------------------------------------------------- (adjusted for splits) [Line graph generally illustrating range of Thermo Instrument stock price (without providing specific stock prices) from 1986 to present ranging from approximately $2.00 per share to approximately $36.00 per share during the time period shown.] 17 [LOGO] Thermo Electron 21 GROWTH PLAN 2000 - --------------------------------------------------------------------------- > Manage according to market served > New incentives for managers > Divest of slow-growth units > Continue strategic acquisitions > Initiate e-commerce 18 [LOGO] Thermo Electron 22 OLD ORGANIZATION - --------------------------------------------------------------------------- [Graphic of partial depiction of old organizational chart of Thermo Instrument Systems.] 19 [LOGO] Thermo Electron 23 NEW ORGANIZATION - --------------------------------------------------------------------------- 1999E Revenues: $2.3 billion Life Measurement Sciences Photonics and Control 1999E Revenues 1999E Revenues 1999E Revenues $800 million $800 million $700 million 20 [LOGO] Thermo Electron 24 LIFE SCIENCES - GOALS - --------------------------------------------------------------------------- > Internal revenue growth >10% > R&D commitment 8-10% > Technology acquisitions > Maintain 16% ROS 21 [LOGO] Thermo Electron 25 PHOTONICS - GOALS - --------------------------------------------------------------------------- > Internal revenue growth 7-8% > R&D commitment - Telecom >10% - Balance 7% > Instrument acquisitions > Maintain strong cash flow > Improve ROS to 13% 22 [LOGO] Thermo Electron 26 MEASUREMENT AND CONTROL - GOALS - --------------------------------------------------------------------------- > Internal revenue growth 4-5% > R&D commitment 4-5% > Double ROS to 10% > Focus on cash flow > Divestitures 23 [LOGO] Thermo Electron 27 NEW INCENTIVES FOR MANAGERS - --------------------------------------------------------------------------- > New bonus plan - Growth - Cash - Combination > Increase cash compensation > Continue options in parent 24 [LOGO] Thermo Electron 28 DIVEST SLOW-GROWTH UNITS - --------------------------------------------------------------------------- > Detailed review of measurement and control sector > Sale of - Gould - NIS - Pharos Marine 25 [LOGO] Thermo Electron 29 RECENT ACQUISITIONS - --------------------------------------------------------------------------- Spectra Physics AB Feb. 1999 BioStar Nov. 1998 - ----------------------------- ----------------------------- Laser-based instruments Point-of-Care Diagnostics ----------------------------- Purchase Price $351M Current Market Value SPLI $450-500M Other $350M Interactiva Oct. 1999 FLIR $ 70M ----------------------------- - ----------------------------- Biochips - e-commerce Total Value $870-920M ----------------------------- 26 [LOGO] Thermo Electron 30 EBUSINESS - WWW.INFORMATION2.NET - --------------------------------------------------------------------------- Competitive Advantages > Leverage knowledge assets > Breadth of "touch points" > Mining: metals to genomes > One-to-one marketing 27 [LOGO] Thermo Electron 31 WELL-POSITIONED VS. COMPETITORS - --------------------------------------------------------------------------- [Segmented bar chart showing how Thermo Instrument and its competitors compare in terms of the industries they serve.] Source McKinsey & Co. Thermo Instrument Life Sciences 40% Communications 9% Environmental 17% Industrial 34% Agilent Life Sciences 7% Communications 50% Environmental 5% Non Instrument 38% Waters Life Sciences 60% Environmental 40% Varian Life Sciences 35% Environmental 35% Non Instrument 30% Perkin Elmer Life Sciences 22% Environmental 13% Industrial 26% Non Instrument 39% 28 [LOGO] Thermo Electron 32 VALUATION - --------------------------------------------------------------------------- EV/EBITDA [Bar chart showing how Thermo Instrument has been valued by industry analysts in terms of EV/EBITDA compared to its competitors based on trailing 12 months EBITDA.] Source: Industry Analysts Chart reflects ratio of EV (Enterprise Value)/EBITDA as follows: THI 8.0 Agilent 24.0 Waters 19.3 Varian 20.2 Perkin Elmer 12.0 Mean 18.9 29 [LOGO] Thermo Electron 33 INSTRUMENTS PROVIDE KNOWLEDGE - --------------------------------------------------------------------------- You cannot improve and control unless you can measure and detect 30 [LOGO] Thermo Electron 34 OLD STRUCTURE - --------------------------------------------------------------------------- [Graphic showing the old corporate structure of Thermo Electron indicating Thermo Electron subsidiaries with minority investors as follows:] Thermo Electron Thermo Instrument Thermo Quest ONIX Systems Thermo Spectra Thermo Optek Thermo BioAnalysis Metrika Systems Thermo Vision Thermo Coleman Thermo Information Solutions Thermo Biomedical Thermo Ecotek Thermo Trilogy Thermedics Thermo Sentron Thermedics Detection Thermo Cardiosystems Thermo Voltek Thermo Trex Trex Medical Trex Communications ThermoLase Thermo Fibertek Thermo Fibergen Thermo Power Thermolyte Thermo Terra Tech The Randers Group Thermo EuroTech Thermo Retec 31 [LOGO] Thermo Electron 35 NEW STRUCTURE - --------------------------------------------------------------------------- The term Thermo Electron superimposed over image of man looking through a telescope, representing new Thermo corporate structure. 32 [LOGO] Thermo Electron 36 THE NEW THERMO ELECTRON - --------------------------------------------------------------------------- > Market focus > Simple structure > Tightly managed > Dedicated resources 33 [LOGO] Thermo Electron 37 OTHER IMPORTANT INFORMATION: THE TENDER OFFER FOR THE OUTSTANDING SHARES OF THERMO SENTRON COMMON STOCK HAS NOT YET COMMENCED. AS SOON AS THE TENDER OFFER COMMENCES, WE WILL FILE A TENDER OFFER STATEMENT WITH THE SECURITIES AND EXCHANGE COMMISSION. YOU SHOULD READ THE TENDER OFFER STATEMENT WHEN IT BECOMES AVAILABLE BECAUSE IT WILL CONTAIN IMPORTANT INFORMATION ABOUT THE TENDER OFFER. YOU CAN OBTAIN THE TENDER OFFER STATEMENT AND OTHER DOCUMENTS THAT ARE FILED WITH THE SECURITIES AND EXCHANGE COMMISSION FOR FREE ON THE SECURITIES AND EXCHANGE COMMISSION'S WEB SITE AT HTTP://WWW.SEC.GOV. IF YOU WRITE US OR CALL US, WE WILL SEND YOU THESE DOCUMENTS FOR FREE WHEN THEY ARE AVAILABLE: - TENDER OFFER STATEMENT (EXCEPT FOR EXHIBITS) - OFFER TO PURCHASE - LETTER OF TRANSMITTAL - NOTICE OF GUARANTEED DELIVERY YOU CAN CALL US AT (781) 622-1111 OR WRITE TO US AT: INVESTOR RELATIONS DEPARTMENT THERMEDICS INC. 81 WYMAN STREET, P.O. BOX 9046 WALTHAM, MA 02454-9046 -MORE- 38 THE PREVIOUSLY ANNOUNCED EXCHANGE OFFER BY THERMO ELECTRON FOR OUR COMMON STOCK HAS NOT YET COMMENCED. ONCE THE EXCHANGE OFFER COMMENCES, WE WILL FILE A SOLICITATION/RECOMMENDATION STATEMENT WITH THE SECURITIES AND EXCHANGE COMMISSION. YOU SHOULD READ THIS DOCUMENT WHEN IT BECOMES AVAILABLE BECAUSE IT WILL CONTAIN IMPORTANT INFORMATION ABOUT THE EXCHANGE OFFER. YOU CAN OBTAIN THE SOLICITATION/RECOMMENDATION STATEMENT AND OTHER DOCUMENTS THAT WILL BE FILED WITH THE SECURITIES AND EXCHANGE COMMISSION FOR FREE WHEN THEY ARE AVAILABLE ON THE SECURITIES AND EXCHANGE COMMISSION'S WEB SITE AT HTTP://WWW.SEC.GOV. ALSO, IF YOU WRITE US OR CALL US AT THE ABOVE ADDRESS AND PHONE NUMBER, WE WILL SEND YOU THE SOLICITATION/RECOMMENDATION STATEMENT FOR FREE WHEN IT IS AVAILABLE. # # # -----END PRIVACY-ENHANCED MESSAGE-----