Autron has announced that it will acquire the business operations of two capital equipment suppliers to Taiwan’s printed circuit board assembly (PCBA) industry, completing the company’s Asia-Pacific network.
With the two Taiwanese operations, Autron will have the most comprehensive distribution network of capital equipment and consumables supporting Asia’s growing electronics and PCBA industry, according to Autron group managing director, Tan Cheng Leong.
“We are now in the strongest position to ride the boom in Asia’s electronics manufacturing,” Leong said.
“In 10 years time, world electronics production will increase by four times in Asia, at which time Asia will contribute half of world volume.”
Asia currently accounts for a quarter of the world output of electronics worth US$913 billion, according to global researchers Prismark.
The acquisition of Taiwan Sigma Equipment, which carries the Speedline range of products, will cost the company US$6 million as a two-thirds cash, one-third shares transaction, while Info-tek Technology, which distributes Siemens products in Taiwan, will be paid as $2.225 million in cash and the rest in shares, the company said.
While Autron is currently in negotiations with the two companies, it expects to finalise the sale and purchase agreements shortly, the company said.
The company will use its Hong Kong-based subsidiary, American Tec, to supply to the fast growing indigenous Chinese electronics manufacturers, while the two new Taiwanese subsidiaries will handle the current influx of investment for electronics manufacture in China from Taiwan, the company said.