Electronics Production |
Avnet acquires YEL Electronics
Avnet has acquired YEL Electronics Hong Kong Ltd. (YEL). YEL, which was established in 1992, is a distributor of interconnect, passive, electromechanical and limited semiconductor components in the Asia region.
YEL generated approximately US$200 million of revenue in the twelve months ended December 2007 with over 80 percent coming from IP&E products. The acquisition expands Avnet Electronics Marketing's franchised line card with new IP&E suppliers in the region.
Avnet YEL will operate as a specialist division to maintain its focus on IP&E profitable growth. The combined customer base will also provide additional opportunities for cross selling as company's sales organizations will have an expanded line card supported by Avnet's supply chain management and logistics capabilities. The transaction is expected to be immediately accretive to earnings, excluding minimal integration charges, and supports Avnet's long-term return on capital goals.
