ZAGG, makers of popular mobile accessories from cases to battery packs to headphones and screen protectors, announced today that it has entered into an agreement to purchase Mophie, another mobile accessory manufacturer, for around $100 million USD, plus a to-be-determined amount calculated by taking a five-times multiplier of Mophie’s earnings before interest, taxes, depreciation, and amortization (EBITDA) that exceeds $100 million between April 1st, 2016 and March 31st, 2017.
“This strategic combination of two industry innovators with complementary product, brand and distribution platforms will enable us to deliver increased value for our customers and shareholders,” said Randy Hales, President and Chief Executive Officer of ZAGG. “We see numerous opportunities to drive revenue growth and increase profitability by leveraging the strengths of both organizations to strengthen product development, improve brand presence, and expand distribution.”
Mophie is best known for its juice pack battery cases for the iPhone and Galaxy brands, but in recent years has expanded into other areas, including generic battery cases, docks and cables.
As part of the deal, Mophie’s CEO, Daniel Huang, and COO, Shawn Dougherty, will stay on at the combined entity reporting directly to ZAGG CEO, Randy Hales.