SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
______________________
F O R M 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of
February 2005
RADA ELECTRONIC INDUSTRIES LIMITED
(Name of Registrant)
7 Giborei Israel Street, Netanya 42504, Israel
(Address of Principal Executive Office)
Indicate by check mark whether the registrant files or will
file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F [X] Form 40-F [ ]
Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): [ ]
Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]
Indicate by check mark whether by furnishing the information
contained in this Form, the registrant is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under the Securities
Exchange Act of 1934.
Yes [ ] No [X]
If "Yes" is marked, indicate below the file number assigned to
the registrant in connection with Rule 12g3-2(b): 82-
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This Form 6-K is being incorporated by reference into the Registrant's
Form F-3 Registration Statements File Nos. 333- 12074, 333-115598 and
333-117954, and Form S-8 Registration Statements File Nos. 333-12844 and
333-111437.
RADA ELECTRONIC INDUSTRIES LTD.
6-K Items
1. Press Release re RADA Electronic Industries Agrees to Purchase all
of Vectop Limited's Assets dated February 8, 2005.
ITEM 1
Press Release Source: Rada Electronic Industries Ltd
RADA Electronic Industries Agrees to Purchase all of Vectop Limited's Assets
Tuesday February 8, 9:12 am ET
Positive Impact Expected due to Broader Product Suite and Wider Customer Base
NETANYA, Israel, February 8 /PRNewswire-FirstCall/ -- RADA Electronic Industries
Ltd. (NASDAQ: RADI - News), announced today that following recent negotiations
between RADA's management and Vectop Limited, an Israeli company specializing in
the design, development, marketing and sale of electro-optic equipment and
debriefing systems, RADA's board of directors has approved, as of February 7,
2005 the purchase of all the assets that are used by, or related to Vectop's
business by RADA.
Vectop's assets also include know-how, patents and intellectual property to
produce off-the-shelf products such as cameras and video recorders, which are
currently operational onboard aircraft and tanks in Israel and other countries.
These products are complimentary to RADA's product suite, and also add key
customers including Ground and Air Forces to RADA's existing customer base.
The consideration to be paid by RADA to Vectop, according to the agreement is
composed of two components: the sum of US$250 thousand in cash and a future
consideration based on performance. In addition, RADA is assuming $800 thousand
of Vectop's debt to be paid starting from 2006 over a two-year period, as well
as other operational liabilities.
Commenting on the transaction, Mr. Adar Azancot CEO noted: "In line with our
strategy, RADA is completing its first acquisition post its turnaround. Vectop
presents a unique opportunity for RADA and we believe we can harvest significant
synergies in terms of our complementary product lines and access to major new
customers. Our expectation is that Vectop's products will contribute US$2.5
million in revenue during this year. "
Mr, Azancot added: "By taking advantage of our engineering staff and production
facilities, we believe our existing operational infrastructure can easily absorb
Vectop's products and customers. Thus, we have no need to absorb any of Vectop's
operational expenses and expect Vectop's high gross profit to also have a direct
positive impact on RADA's net profit, already during this year."
The transaction is still subject to the approval of Vectop's board of directors
and shareholders, as well as to the formal closing of the transaction.
About RADA
RADA Electronic Industries Ltd. is an Israel based company involved in the
military and commercial aerospace industries. The Company specializes in
Avionics, Ground Debriefing Stations (Video, ACMI and Maintenance) and
Automatic Test Equipment.
Note: Certain statements in this press release are "forward-looking statements"
within the meaning of the Private Securities Litigation Act of 1995. Such
statements involve known and unknown risks, uncertainties and other factors that
may cause actual results to differ materially. Such risk uncertainties and other
factors include, but are not limited to, changes in general economic conditions,
risks in product and technology developments, market acceptance of new products
and continuing product demand, level of competition and other factors described
in the Company's Annual Report on Form 20-F and other filings with the
Securities and Exchange Commission.
Company Contact:
Elan Segal (Chief Financial Officer),
Tel: +972-9-892-1129
elan_sigal@rada.com
Investor Relations Contact:
Ehud Helft / Kenny Green,
Tel: +1-866-704-6710
ehud@gk-biz.com / kenny@gk-biz.com
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Rada Electronic Industries Ltd.
(Registrant)
By: /s/Herzle Bodinger
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Herzle Bodinger, Chairman
Date: February 8, 2005