Teradyne Inc. (NYSE: TER) is buying Universal Robots for $285 million.

The target supplies collaborative robots, which work side-by-side with production workers in manufacturing settings. The company had a revenue increase of more than 70 percent in 2014, recording a $38 million profit.

The business has been backed by the Danish Growth Fund, Vækstfonden, since 2008. Vækstfonden is a state financing fund that invests in small and medium-sized businesses, and has invested more than $2.25 billion since it was started in 1992.

Teradyne supplies automatic test equipment used for semiconductors, wireless products, data storage and other electronic systems. The company says Universal Robots adds an additional growth segment to its business.

The purchase price could include an additional $65 million depending on performance. Teradyne says collaborative robotics is a $100 million segment of the industrial robotics market, and that that space is growing at 50 percent per year.

In another recent robotics transaction, Sealed Air (NYSE: SEE), the owner of Bubble Wrap, bought Intellibot Robotics LLC, a floor cleaning robotics company, in April. 

Mooreland Partners advised Universal Robots on the deal. Jones Day advised Teradyne.

Manufacturing industry