Electronics Production | December 02, 2005
Arrow completes acquisition of<br>70% of Ultra Source Technology
Arrow Electronics, Inc. announced today the successful completion of its cash tender offer for Taiwan-based Ultra Source Technology Corp. Arrow will be acquiring 70% of the common shares of Ultra Source for an aggregate purchase price of $62.5 million. All necessary regulatory approvals related to the tender offer have been received.
"The combination of Ultra Source's strong technical and engineering resources and our exceptional linecard will accelerate the growth of our components businesses in this important region and further strengthens our leading position throughout Asia Pacific," said William E. Mitchell, President and Chief Executive Officer of Arrow Electronics, Inc. Ultra Source, which is headquartered in Taipei, Taiwan and has approximately 200 employees, is one of the leading electronic components distributors in Taiwan with sales offices and distribution centers in Taiwan and Hong Kong and substantial sales in the People's Republic of China. Total 2005 sales are expected to exceed $500 million. "We are excited about our partnership with Arrow and look forward to working together as a truly integrated team. Ultra Source will now have access to Arrow's abundant resources and broad customer base, which will create significant opportunities for our organizations," stated Mr. M.C. Wen, Chairman of Ultra Source. Arrow Electronics is a major global provider of products, services, and solutions to industrial and commercial users of electronic components and computer products. Headquartered in Melville, New York, Arrow serves as a supply channel partner for nearly 600 suppliers and 150,000 original equipment manufacturers, contract manufacturers, and commercial customers through a global network of more than 200 locations in 53 countries and territories.