NCAB acquires Spanish PCB supplier
Swedish PCB supplier NCAB Group has signed an agreement to acquire 100%t of the shares in Electronic Advanced Circuits S.L. based in Madrid, Spain. At the same time, the company is also establishing a new entity in Portugal.
Electronic Advanced Circuits S.L. expects to reach net sales of SEK 19 million (EUR 1.60 million) in 2023 with an estimated EBITA margin of about 15%. The company has 2 employees. The majority of sales is concentrated to the telecom and industrial sectors and sourcing is being made from manufacturing partners in China. The purchase price is SEK 14 million (EUR 1.18 million) with a potential earn-out capped at a maximum amount of SEK 4 million (EUR 338,000). The transaction is expected to close in November 2023.
Before the deal, NCAB Spain had 13 employees and a turnover of SEK 75 million (EUR 6.33 million) in 2022. The acquisition is expected to be earnings accretive for NCAB Group in 2024 and the PCB supplier expects synergies in the areas of suppliers, payment terms and logistics.
At the same time, NCAB group says that it is establishing a new entity in Portugal, NCAB Group Portugal and two new employees have been recruited, both with experience from the PCB industry.
“With these two strategic actions, we gain highly skilled and experienced personnel, who will complement our existing capabilities and play a pivotal role in unlocking new growth opportunities and expanding our networks. We are taking steps forward in our expansion plans in Spain and Portugal. The Iberian Peninsula is of growing interest for the electronics market in Europe,“ says Benjamin Klingenberg, VP NCAB Europe, in the press release.