Cyient DLM Limited has announced its acquisition of a 100% stake in Altek Electronics Inc., an electronics manufacturing services provider based in the United States. The acquisition was approved by the Board in a meeting on October 3, 2024, and was completed through its wholly-owned subsidiary, Cyient DLM Inc. The transaction, valued at an upfront payment of $23.4 million with a potential earnout of $5.8 million, will strengthen Cyient DLM’s presence in North America and enhance its offerings in the industrial, medical, and defense sectors.
Key details:
- Altek Electronics Inc.: A leading provider of electronic manufacturing services specializing in PCBA assembly and upper-level assembly.
- Revenue: Altek generated a turnover of USD 37.2 million in 2023.
- Acquisition purpose: This move aligns with Cyient DLM’s strategy to expand in North America and leverage growth synergies in key sectors.
- Transaction completion: October 4, 2024.
- Consideration: Cash deal, including an upfront payment of $23.4 million and an earnout of $5.8 million based on performance.
This acquisition is expected to enhance Cyient DLM’s capabilities and market position, especially in the North American region, where Altek Electronics has served as a key supplier for decades.