Mycronic’s Assembly Solutions High Volume division has announced plans to buy Shenzhen Huan Cheng Xin Precision Manufacture Co., Ltd. Headquartered in Shenzhen, China, with around 120 employees, the company produces automated screen printers and pick and place machines.
Screen printers account for 80 percent of the Shenzhen Huan’s sales and pick and place machines for the remaining 20 percent. China is the company’s dominating market, accounting for 95 percent of sales.
“With this acquisition, we strengthen and broaden High Volume’s product portfolio and are able to offer a more complete and attractive solution to our customers,” says Ivan Li, Senior Vice President for High Volume at Mycronic.
In 2020, sales in the acquired operation amounted to almost Swedish krona 100 million (US$11.5 million). Initially, the transaction initially plans to get 70 percent of the shares. The company plans to get the remaining 30 percent in 2025 following pre-defined earnings multiple.
Parties expect the transaction to conclude in the fourth quarter of 2021.