SMT & Inspection | December 15, 2005
Isola acquires Polyclad from Cookson
Isola today announced it has entered into an agreement to acquire Polyclad Laminates, one of the world's leading manufacturers of laminate and prepreg materials to the PWB and electronics packaging industry.
Isola agreed to the purchase of Polyclad Laminates' global operations and product portfolio, from Polyclad parent company Cookson Electronics, for $91 million. Polyclad's 2005 revenue, in excess of $200 million, combined with Isola's current sales revenue in excess of $400 million, strengthens Isola's position as a leader in the laminate and prepreg worldwide market. The transaction is expected to be complete by the end of February 2006. Isola will continue to work with existing customers and suppliers as the company restructures to integrate the two entities. According to Ray Sharpe, Isola CEO, "This acquisition strengthens our technology base, our product portfolio and provides an enlarged footprint in Asia Pacific, especially Southern China. It bolsters Isola's focus on bringing new products to market for our customers, and allows us to better leverage all of the manufacturing facilities and offer our customers economies of scale that individually we could not." By combining the respective strengths and product offerings of Isola and Polyclad and by reducing costs, this acquisition creates a global supplier capable of competing effectively in the long term with laminate suppliers based in low-cost regions. With Isola's established enhanced electrical product line and Polyclad's successful high-reliability products, customers will be able to buy a wider range of products from a single global supplier, allowing them to reduce costs.