Kendrion acquires electronics and embedded developer
Dutch Kendrion N.V., a developer, manufacturer and marketeer of high-quality electromagnetic systems and components for industrial and automotive applications, has acquired 3T, a Netherlands-based software and electronics development company.
In the transaction, Kendrion has acquired 100% of 3T’s shares for an undisclosed amount, which the company says in a press release that it will finance from existing resources. The acquisition is expected to have an immediate accretive effect on Kendrion’s earnings per share. 3T is an established, specialist developer, manufacturer, distributor, and provider of lifecycle management services for client-specific electronics and embedded systems. With facilities in Enschede and Eindhoven, 3T employs some 80 FTE, and realises around EUR 12 million in annual profitable revenues. The company offers a strong strategic fit with the control technology activities of Kendrion’s Business Group Industrial Actuators and Controls. In addition, 3T’s extensive experience in software and electronics development is expected to be strategically important for Kendrion’s Automotive Group. “We are excited about the advantages that joining forces with 3T will deliver to Kendrion and our organic growth plan. Firstly, 3T’s exisitng business is a strong addition to our own Business Group Industrial Actuators and Controls and will create new growth opportunities. Secondly, our Automotive Group will benefit from 3T’s 30-plus years of experience in advanced software and electronics development, de-risking the development of our ‘lighthouse’ projects around sound actuation, smart shock absorber actuators and sensor cleaning systems. These products are targeted at Autonomous, Connected, Electric and Shared (ACES) vehicles, and offer a substantial organic growth opportunity for many years to come. Thirdly, this acquisition adds two locations to our Group that provide direct access to leading technical talent – supporting us to continue extending our technical capabilities required for developing advanced and smart actuators. And finally, we are extremely impressed by the strong 3T team and the relationships they have built with their clients. We are pleased to welcome them into our Group,” says Joep van Beurden, CEO of Kendrion in the press release. 3T will be integrated into Kendrion’s Business Group IAC, where it will combine with IACs control technology activities. The joint team has identified several exciting cross-selling and other commercial opportunities. Kendrion intends to retain the 3T brand and its facilities in Enschede and Eindhoven, as well as 3T’s existing management. “With Kendrion, we have found the right partner to advance and expand our business. The combination of 3T and Kendrion will offer successful growth opportunities beyond our current markets, working under our own strong brand as part of the Business Group IAC and broader Kendrion Group,” adds Richard Mijnheer, CEO of 3T.