Electronics Production |
Technitrol buys Danish tech firm
US based chip manufacturer Technitrol, Inc., has acquired the Sonion A/S, a producer of microacoustic transducers and micromechanical components for manufacturers of hearing instruments, acoustic devices, medical devices and mobile communication devices.
These products are used in hearing aids, high-end earphones, medical devices, wireless handsets and other mobile terminal equipment. Sonion is also a specialist in microelectromechanical systems (MEMS) microphone technology.
The purchase price is approximately $385 million in cash, based on current exchange rates. The acquisition will be financed through a new credit facility and cash on hand. Closing of the transaction is expected before the end of February 2008.
Sonion is based in Roskilde, Denmark and also has facilities in Poland, China, Vietnam and the Netherlands. It employs about 4,900 people, including more than 140 research and development personnel. Revenues in 2007 were approximately $180 million. Technitrol intends to keep Sonion's current management and professional personnel largely in place.
Technitrol expects that this acquisition will be EBITDA-positive from the outset but will dilute earnings per share for part of the first year due in significant part to the interest expense on acquisition-related debt, which is largely non-tax deductible in the several quarters after the closing, and the non-cash amortization of certain acquisition-related intangibles. Thereafter, Technitrol expects that Sonion will be accretive to earnings in the subsequent year by approximately $0.25 per share.
