Electronics Production |
Powerwave close office, axe 110
Powerwave Technologies Inc. plans to lay off 110 out of 200 employees as it plans to close one of their offices in Sweden. Powerwave also sells off its EMS business in Sweden.
Powerwave plans to close its office located in Taby outside Stockholm. The work force will be moved to a smaller office in the nearby Kista industrial park. The move comes days after Powerwave lowered their sales forecast from 200-210 million US dollar to 155-160 million US dollar.
Powerwave also announced the sale of its contract manufacturing business, Arkivator Falköping AB, for a purchase price of approximately $27.1 million, to IGC Industrial Growth Company AB. Arkivator Falköping AB is located in Falköping, Sweden. The transaction maintains the full operations and employees of Arkivator. The purchase price was payable in cash, with $1.5 million payable over three years.
Mobile phone equipment maker Powerwave acquired Sweden based LGP-Allgon and Arkivator in 2004 to establish themselves at the Nordic market.
