© GPV Electronics Production | October 31, 2018
GPV acquires Swiss CCS Group
Danish EMS provider GPV, says that it is acquiring the Swiss-based EMS company CCS. The transaction will lift GPV’s revenue by EUR 190 million to about EUR 350 million and place the company among the largest EMS companies in Europe.
The transaction will create a strong global EMS player with some 3'700 employees, with production facilities in Asia, Europe and the Americas and a combined revenue of about DKK 2.6 billion (EUR 350 million). CCS is currently owned by a private equity fund advised by the Swiss Patrimonium. CCS and GPV employ 2'300 and 1'400 people, respectively, and both operate in the EMS segment with electronics, mechatronics, high precision mechanics and cable-harness as their core business areas. “At the beginning of 2018, we announced a new and ambitious growth plan for GPV with a revenue target of DKK 2.5 billion by 2022. Things have evolved faster than we had expected, and now, we have signed an agreement to acquire CCS that will both allow us to meet our strategic ambition and to create an EMS leader in electronics focused on box-build and mechatronic products,” says GPV CEO Bo Lybæk, in a press release. “We are very pleased to become part of GPV who we know as proficient and talented industry peers,” adds CCS Group CEO Thomas Kaiser, and he continues: “At the same time, it is very important to us that GPV’s owner Schouw & Co is known for their strategic and long-term approach and that it has the financial strength to invest for growth and to further develop our business.” Both companies have successfully served the HMLV (High-Mix/Low-Volume) segment of the EMS market. Both GPV and CCS provide electronics sub-assembly solutions and finished products (box-build) to their customers in high-mix and low-volume series, and demand for this type of electronics supplier is growing. “GPV and CCS are quite similar in a number of ways. We both master service excellence and have highly flexible production set-ups, making us a strong partner for delivering the small and medium-sized series demanded by our customers. We see a big potential in staying focused on the HMLV segment,” says Bo Lybæk. “Together we will form an overall stronger EMS group: CCS has its own product design and engineering unit as well as cable-harness manufacturing specialising in Today, most of GPV’s customers are headquartered in northern Europe, whereas most of CCS’ customers are based in the German-speaking parts of Europe. GPV has production facilities in Denmark, Mexico and Thailand, while CCS has production facilities in Switzerland, Germany, Austria, Slovakia, Sri Lanka and China. Combined company to be headquartered in Denmark The continuing, new and bigger EMS group will take the name of GPV, and its head office will be in Denmark. CCS’ customers will still be served from CCS’s existing offices and by its employees in Switzerland, Germany, Austria and other countries, and the overall intention is for the two companies to grow even stronger together. “There is no doubt that size matters. Our procurement power and production capacity will double, and together we will have an even stronger position in the market. We will have the power and capacity to take on a greater volume of jobs from the combined customer base,” says Bo Lybæk who will stay on as Group CEO of the new organisation whereas Thomas Kaiser will continue to lead CCS and will be responsible for its integration into the new Group. The acquisition of CCS is expected to be closed before the end of 2018. Thus, the acquisition is expected to have full effect from 2019.