Note 19 - Subsequent Events

12 Months Ended

Dec. 31, 2020

Notes to Financial Statements

Subsequent Events [Text Block]

19.  SUBSEQUENT EVENTS

Acquisition of rms Connectors, Inc.

On January 8, 2021, the Company acquired rms Connectors, Inc. (“rms Connectors”), from rms Company Inc., a division of Cretex Companies, Inc., for $8.5 million in cash.  rms Connectors is a highly-regarded connector manufacturer with over 30 years of experience producing harsh environment circular connectors used in a variety of military and aerospace applications. This acquisition complements Bel's existing military and aerospace product portfolio and we anticipate will allow us to expand key customer relationships within these end markets and leverage the combined manufacturing resources to improve our operational efficiency.  The transaction was funded with cash on hand.  The initial purchase price allocation related to this acquisition was not yet available at the time of filing this Annual Report on Form 10-K.

Sale of Hong Kong Property and Related Bank Consent

On January 15, 2021, the Company sold a property in Hong Kong for net cash proceeds of $6.7 million.  The net book value for this property is approximately $0.5 million, and a related gain on sale will be recorded in the first quarter of 2021.  When this asset sale is combined with the previously-announced dispositions of the Company's Signal manufacturing facility in Inwood, New York and its Power R&D facility in Switzerland, the aggregate amount of proceeds of asset sales during the term of the credit agreement exceeded the disposition basket provided pursuant to the credit agreement.  On February 3, 2021, the Company received a retroactive consent from its lenders to exclude the proceeds of the Hong Kong property sale from the calculation of the disposition basket outlined in the Credit Agreement.