Mikael Jonson<br>CEO PartnerTech Electronics Production | June 03, 2005
PartnerTech acquires Finnish EMS
PartnerTech has signed an agreement to acquire all shares of the Finnish contract manufacturer KSH-Productor Oy. With some 180 employees, the acquired units generated revenue of approximately MEUR 22 in 2004.
PartnerTech will take over the operations right away, and the acquisition is expected to boost its EPS immediately. The deal assures PartnerTech of a foothold in another key Nordic country. CEO Mikael Jonson calls this a vital step in the company’s strategy of bringing its concept to more customers and markets. ”KSH-Productor attaches great importance to proximity in terms of development, production and customer relationships. Based on the advanced expertise available at the acquired units, we should soon be able to offer all PartnerTech services to both existing and prospective customers in a number of business sectors in Finland." Most of KSH-Productor’s assignments are in the field of medical technology. The company is structured along lines that are highly suited to PartnerTech’s way of doing business. The head office, including the development and production units, is located in Espoo on the outskirts of Helsinki. The plant focuses on mechanics, assembly and associated testing. Espoo also has a smaller assembly plant. The city of Åbo hosts an additional plant at which the development and production units work closely together. Most production there involves electronics, assembly and testing. Åbo also has a smaller assembly and calibration unit. PartnerTech aquired KSH-Productor’s whole share capital from Seppo Kukkoaho, Pekka Soimes and Bio Fund Management, a European venture capital management company investing in Life Sciences. Seppo Kukkoaho and Pekka Soimes, KSH-Productor’s managers of operations, welcome PartnerTech. ”PartnerTech will be good for us. The affiliation enhances our breadth and strength, which is good news for both our customers and employees." PartnerTech will pay half of the acquisition in cash and finance the other half by issuing new shares based on their average price for the past ten days. The estimated purchase sum of approx. MEUR 7 million includes an additional amount.