The Yageo corp agreed to acquire U.S. passive components maker KEMET in an all-cash deal valued at $1.8 billion, including debt, for $27.2 above market value.KEMET will become a subsidiary of Yageo and is expected to complete the transaction in the second half of 2020.KEMET shares fell 2.1% to $23.02 Monday
It is known that KEMET is one of the most famous capacitor manufacturers in the world. Its tantalum capacitor sales once ranked the first in the world, and it has a global leading position in the field of passive electronic technology.The company is headquartered in greenville, south Carolina, USA.
At present, there are two divisions of organic solid state capacitor, thin film and electrolytic capacitor in China
Kemet officials also confirmed that Kemet chief executive William m. Lowe Jr. is pleased to have reached this agreement with YAGEO in the best interests of shareholders, customers and employees.
Kemet Corp is an American manufacturer of capacitors such as tantalum, aluminum, multilayer ceramics, thin films, polymer electrolysis and supercapacitors, according to public records.Kemet also produces various other passive electronic components such as ac line filters, EMI cores and filters, flexible suppressors, electromechanical equipment (relays), metal composite inductors, ferrite products and transformer/magnetic components.
Kemet has technical advantages in tantalum capacitor production process and basic materials, and its accumulation of technologies in high capacity and vehicle use is urgently needed by China."The integration will enhance our ability to serve customers in the consumer electronics sector as well as high-end automotive, industrial, aerospace, telecommunications and healthcare sectors," said Chen taiming, guoju's chief executive.
The new business in North America, Europe and Asia will expand giant's global footprint, the companies said in a joint statement after the deal was approved by their boards
Yageo said it would fund the deal with cash and financing and said it would close in the second half of 2020, with combined annual revenue of about $3 billion.