FARO to be acquired for $920 million

News came this morning that AMETEK, Inc. is going to acquire all outstanding shares of FARO Technologies’ common stock for $44 per share in cash, for a total of around $920 million — and that per share price is roughly 40% above FARO’s closing price on May 5, 2025.

You probably know that FARO Technologies makes 3D measurement solutions, including portable measurement arms for manufacturing quality control, and laser scanners. I first became aware of them years ago, when they brought to market innovative hardware+software+visualization solutions to help investigators map out crime scenes — it was an unusual use for technology that had, to that point, been used to scan as-built process plants as the start of refurbishment projects. Today, FARO says it offers “4D digital reality solutions”, which the company says “allow the comparisons of two scans taken at different times and displaying the deviation between the two. This is useful for monitoring construction phases as well tracking shifts … over time.” FARO reported revenue of $83 million in the quarter ended March 31, 2025, and revenue of $341 million for fiscal 2024.

I was not familiar with AMETEK, so took a quick look. They’re huge: annual revenue of about $7 billion from around 40 businesses, 50% of revenue outside the US, and 21,000 employees globally.

AMETEK’s CEO David Zapico said, “FARO is an outstanding acquisition for AMETEK and an excellent strategic fit with our Ultra Precision Technologies division. FARO’s differentiated 3D metrology and imaging solutions expand our presence in attractive growth markets. Its strong brand, global customer base, employees and technology capabilities complement our existing Creaform business and provide compelling opportunities for growth and margin expansion.”

I had completely spaced the fact that AMETEK acquired Creaform. Creaform also makes metrology devices for use in shop-floor environments and was acquired by AMETEK in 2013. I’ll have to look at some point to see about overlapping products, but for now, it seems as though it will be business as usual at both companies.

FARO CEO Peter Lau says, “We are excited to join AMETEK and its portfolio of industry-leading technology businesses. With AMETEK’s global scale, operational excellence, and commitment to innovation, we are well-positioned to accelerate our growth and continue delivering cutting-edge solutions to our customers around the world.”

FARO shareholders must still approve the deal, and pending that and regulatory review, the transaction is expected to close later this year.