The Library Corp. (TLC) has closed a deal to purchase Minnesota-based Tech Logic, a major developer and supplier of automatic material handling (AMH) and radio frequency identification (RFID) technologies to libraries. Tech Logic employs about 35, in line with the smaller size of TLC, which operates with a head count of about 200.
Although the value of the transaction was not disclosed, Tech Logic's approximate $8 million annual revenue level will enhance TLC's current $30M annual revenue significantly. Both are privately owned companies.
Established in 1997, Tech Logic was founded by Mark Frich, an engineer with a thirty-five-year background in industrial material handling technologies.
As opportunities decline for new sales in an increasingly saturated ILS market, most of the companies have branched out to incorporate other related technologies or content components into their business strategies. As libraries increasingly adopt AMH and RFID, acquiring a company in this area seems both a natural synergy and a strong business opportunity.
Tech Logic will continue to operate as an independent company. TLC CEO Annette Murphy will take on the role of CEO of Tech Logic. In addition to his other existing responsibilities, TLC VP Gary Kirk will oversee the operations of the company as its executive director. Existing staff at Tech Logic will continue in their current roles, and company founder Mark Frich will remain active in Tech Logic's operation.
Tech Logic's current customers include libraries that use various automation systems; the company's products will continue to be neutral relative to the ILS used by each library.
The purchase of Tech Logic is TLC's second acquisition. In July 2000, the company acquired Carl Corp., from which it gained the technologies that are the basis of its current Carl.Solution and Carl.X library automation systems.