Benchmark Electronics acquires CTS’ EMS biz

Benchmark Electronics acquired CTS’ Electronics Manufacturing Solutions (EMS) business for $75 million in cash. Included are five manufacturing facilities located in Moorpark, CA, Londonderry, NH, Bangkok, Thailand, Matamoros, Mexico, and San Jose, CA and approximately 1,000 employees. CTS to focus more on its component and Sensors business, and provides additional capital to drive growth and enhance shareholder value. “Since I joined CTS in January, I have been working closely with the Board of Directors to evaluate the Company's portfolio in order to ensure alignment with our core vision and business strategies,” said Kieran O’Sullivan, CEO. “By sharpening our focus on our strengths in Components and Sensors businesses through this transaction, CTS will be better positioned to meet the evolving needs of our customers, increase margins by introducing new value-added products, and grow in attractive adjacencies. We are excited about this opportunity to simplify CTS, focus on our core strengths, and drive profitable growth.” “The transaction increases our financial flexibility to fund organic growth in our higher margin businesses, and consider value-enhancing external opportunities,” Mr. O’Sullivan added. “It also permits us to evaluate additional options to return cash to shareholders, which we expect to evaluate in the near term.” Mr. O’Sullivan continued, “This t...