Scanfil strengthens US presence with majority stake in ADCO Circuits
Finnish EMS provider Scanfil is expanding its footprint in the US and entering the aerospace and defence market through the acquisition of a majority stake in ADCO Circuits Inc., an EMS provider based in the Greater Detroit area.
Scanfil will acquire 80% of ADCO in a deal that values the company at EUR 21.7 million on a cash- and debt-free basis. The estimated purchase price for the majority stake is EUR 13.6 million. However, according a press release, the company's production facility will not be part of the transaction.
The move marks a strategic push for Scanfil in the Americas, particularly in the aerospace and defence sector, which accounts for 37% of ADCO’s revenue. In 2024, ADCO reported a turnover of EUR 30.6 million and an EBIT of EUR 3.5 million.
In addition to aerospace and defence, ADCO serves industrial electronics customers with a focus on high-mix, low-to-medium volume production and complex assemblies – areas that align closely with Scanfil’s existing operations. The company also brings its ADCOproto platform, a web-based service for rapid prototyping.
Scanfil CEO Christophe Sut said the deal, combined with the company's investments in the Atlanta plant, would more than double its turnover in the Americas.
“ADCO brings two generations of expertise, long-standing customer relationships, skilled employees, and modern manufacturing technology,” he says in the press release.
ADCO currently employs 120 people and operates an advanced manufacturing facility, which is expected to further enhance Scanfil’s production capabilities. It is equipped with automated inventory systems, advanced production capabilities, and test solutions.
ADCO President Marc Damman described the partnership as a new phase of long-term growth.
“We share the same values, and together ADCO is better positioned to seize market opportunities. Customers and employees can expect business as usual, but with additional capabilities and growth opportunities,” he said.
The closing of the deal is subject to regulatory approval in the USA, which is expected to be granted in Q3 2025.
