DNC Manufacturer Greco Systems to be Acquired

e-Manufacturing Networks Inc. (e-MFG; Burlington, ON) and Greco Systems (El Cajon, CA) have signed a letter of intent for e-MFG to acquire all the outstanding shares of Greco Systems for cash and e-MFG stock. Greco manufactures distributed numerical control (DNC) hardware and software for the metalworking industry.

Value of the transaction could be between $5 million and $8 million Cdn. The purchase price and definitive terms of the transaction are subject to, among other things, satisfactory due diligence, absence of material adverse change, board and regulatory approvals.

Under terms of the agreement, Vito Greco will remain president of Greco Systems and, subject to regulatory approval, will join the board of directors of e-MFG. "Greco Systems has been a pioneer in the connectivity of machine tools to management to increase production throughput," Greco said. "We view this step forward as a logical evolution in providing a 'standard' for Internet connectivity of management to the manufacturing process."

Greco Systems products can interface with virtually any NC/CNC control; the company says it has developed, tested, and documented more than 1,000 different machine tool interfaces for customers worldwide. Currently more than 8,000 customers use Greco products in their shops across the USA.

e-MFG's focus is networking CNC machine tools to the World Wide Web. The company says such connectivity effectively leverages a manufacturer's information technology to increase production throughput, decrease inventory and operational expense, and enhance return on investment made in CNC plant and operator training over a significantly longer period of time.

Greco Systems, 372 Coogan Way, El Cajon, CA 92020. Phone (800) 234-7326; fax (619)447-8982. e-Manufacturing Networks Inc., 4046 Mainway Dr., Burlington, ON L7M 4B9. Phone (800) 563-6369