10th Mar 2005 11:03
TT electronics PLC10 March 2005 TT electronics plc Important expansion into China TT electronics plc, a world leader in resistor and sensor technology, announcesthat it has expanded its activities in China through the acquisition of DageLimited ("DBS"), an operating division of Dage Holdings Limited and the holdingcompany of Dage Backplane Systems Limited, an electronic manufacturing servicesbusiness with facilities in Suzhou, near Shanghai. TT electronics has acquired the entire issued share capital of DBS for a cashconsideration of £8.0 million, subject to completion accounts, for net assets of£4.9 million as at 30 April 2004. In the year ended 30 April 2004, on a turnoverof £19.3m, DBS's profits before tax were £1.2 million. DBS has been acquireddebt free and the acquisition will be earnings enhancing in the current year. DBS is a well established contract electronics manufacturer serving a blue chipclient base. The company has manufacturing facilities in Aylesbury in the UK andin Suzhou, China. The acquisition of DBS expands our existing electronic manufacturing servicesbusiness and provides us with the facilities in China to meet the requirementsof our major OEM customers, particularly within the automotive industry. Furthermore, as part of the TT electronics group, DBS's business will benefit fromenhanced access to the European and North American markets. Commenting on the acquisition, Executive Chairman of TT electronics, John Newmansaid, "We are delighted to welcome DBS into the group. While we have beenmanufacturing in China through subcontracting arrangements, acquiring our ownmanufacturing facility represents a significant opportunity for TT electronicsto expand its electronic components business in this increasingly importantmarket." For further information please contact: TT electronics plcJohn Newman, Executive Chairman: Tel: 01932 856 647 BiddicksZoe Biddick: Tel: 020 7448 1000 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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