Mycronics acquires Chinese company
Mycronic’s Assembly Solutions High Volume division has signed an agreement to acquire Shenzhen Huan Cheng Xin Precision Manufacture Co., Ltd., a company with around 120 employees and headquarters in Shenzhen, China.
Shenzhen Huan Cheng Xin Precision Manufacture Co., Ltd. produces automated screen printers and pick & place machines. Screen printers account for 80 percent of sales and pick & place machines for the remaining 20 percent. China is the company’s dominating market, accounting for 95 percent of sales, a press note reads.
”With this acquisition we strengthen and broaden High Volume’s product portfolio and are able to offer a more complete and attractive solution to our customers,” says Ivan Li, Sr VP High Volume at Mycronic.
In 2020 sales in the acquired operation amounted to almost SEK 100 million (EUR 10 million). Initially 70 percent of the shares will be acquired. The remaining 30 percent can be acquired in 2025 in accordance with a pre-defined earnings multiple.
The transaction is expected to be finalised in the fourth quarter of 2021.