Remote Control Technology announced today that it has agreed to sell its irrigation division to TRC Irrigation Remotes of Kirkland, Wash. TRC Irrigation Remotes will acquire all the assets related to RCT's handheld wireless irrigation remote control devices, associated receiver cards and accessories including the popular Commander and Sidekick FM systems.
For more than 20 years, RCT has provided irrigation contractors with handheld remote controls that allow irrigation maintenance workers to control any irrigation system for maintenance checks, service or supplemental watering up to five miles away. Permanent receiver cards also allow the operator to interrupt regular controller operation for up to seven days to prevent watering if rain is forecast or if the system is under repair.
RTC’s irrigation division has more than 5,000 wireless remote controls currently in the field and more than 90,000 permanent connectors installed.
While declining to give specific financial details of the transaction, Michael Lien, RCT president, commented, “this transaction will generate significant cash for RCT, which we will use to fund our explosive growth in the industrial wireless market. Our applications for wireless pump control, our military wireless landing light systems and our industrial wire replacement products have been growing at over 60 percent per year for the last three years and we anticipate accelerated growth in 2006. While our irrigation division is very profitable, the distribution channels, customers and growth potential are not compatible with our other industrial markets.”
TRC Irrigation Remotes is a new Washington-state business formed by a group of private equity investors for the express purpose of acquiring the irrigation assets of RCT. “Our investor group recognized that as a stand-alone business RCT's irrigation division could generate significant cash flow and continue to grow,” said Cindy Gladner, president of TRC Irrigation Remotes. “We are all excited to be able to focus on continuing to design, manufacture and market some of the highest quality commercial remote controls in the industry. We anticipate no significant changes to our existing customer relationships. All our TRC employees have worked at RCT for many years.”
Steve Wilson, owner of Eagle Sales, an RCT manufacturer's representative, added, “we have known for some time that RCT was looking to sell their irrigation division. We are pleased that they have found a financial buyer who will continue to operate the business without the major changes that an irrigation manufacturer or distributor might have made.”
With the close of this transaction, TRC Irrigation Remotes will become the irrigation industry’s only manufacturer of receiver cards specifically designed for Rain Bird, Hunter, Irritrol, Weathermatic, HIT, Superior, and Griswold controllers, as well as universal 24VAC wireless remote control systems.