(09-12-18) On the 17th of December Kitron ASA signed a Share Purchase Agreement to acquire 100% of the shares in VERU Electronic GmbH at the price of Euro 700.000,- on a debt free basis. The closing of the deal is subject to reaching an agreement about the debt financing of the company. The intention is to close the deal early 2010 and make Veru a fully owned German subsidiary of Kitron ASA.
“It is part of Kitron ASA’s strategy to enter into new geographical markets”, says Roger Hovland - Corporate Vice President of Kitron ASA.
Germany is the largest EMS market in Europe and is seen as the market having the highest potential within Electronics in Europe due to historical strong level of innovation and engineering competence. It is the country in Europe that has the highest potential for further outsourcing of electronics manufacturing. Having a local entity gives credibility and shows long-term commitment. The German entity shall market the total value chain of Kitron and be our local centre for NPI (New Products Introduction) and small series manufacturing in Germany. For larger series manufacturing Kitron will offer its facilities in Lithuania and later on in China as low cost alternatives, while the facilities in Scandinavia will be offered for high complexity products.
For further information please contact:
Jørgen Bredesen, CEO of Kitron ASA, phone: (+47) 4825 2584, or e-mail:
Roger Hovland, Corporate Vice President of Kitron ASA, phone: (+47) 9208 7770, or e-mail:
Veru Electronic GmbH is a German EMS company established in 1996 with about 20 employees and a turnover of 1.400.000 € (2008). It is well established in relevant market segments in Germany as well as in Austria and Switzerland. It is centrally located in Grossbettlingen in the middle of the industrial area of southern Germany. Veru has highly qualified people and flexible operations. The company is certified according to ISO 9001.
Kitron is Scandinavia’s leading company within the development, industrialisation and manufacturing of electronics for the Data/Telecom, Defence/Offshore, Medical equipment and Industry sectors. The company is located in Norway, Sweden, Lithuania and China. Kitron had a revenue of about NOK 2.3 billion in 2008 and has about 1,100 employees. www.kitron.com