Celestica to Acquire Brooks Automation's Semiconductor Equipment Contract Manufacturing Operations
Acquisition to strengthen Celestica's capabilities in complex mechanical and systems integration services
TORONTO, April 21 - Celestica Inc. (NYSE: CLS) (TSX: CLS), a global leader in the delivery of end-to-end product lifecycle solutions, today announced that it has agreed to acquire the semiconductor equipment contract manufacturing operations of Brooks Automation. The operations, based in Portland, Oregon and Wuxi, China specialize in manufacturing complex mechanical equipment and providing systems integration services for some of the world's largest semiconductor equipment manufacturers.
The operations' capabilities include the production of equipment front-end modules for wafer handling and transportation, vacuum transfer modules and uniquely designed sub-systems for industry-leading semiconductor capital equipment OEMs. The business generated revenue of approximately $135 million for the six months ended March 31, 2011, and currently employs approximately 450 people.
"The acquisition of Brooks' operations in Oregon and China will significantly strengthen Celestica's industrial market offering, providing our customers with additional capability in complex mechanical and systems integration services," said Paul Nicoletti, Executive Vice President, Diversified Markets and Chief Financial Officer, Celestica. "The design, engineering, and technical depth of these operations, coupled with their capital equipment supplier management expertise, are an excellent addition to Celestica's existing global capabilities."
The transaction supports Celestica's strategy to grow and diversify its revenue base in the Industrial, Aerospace and Defense, Healthcare and Green Technology end markets. The purchase price is expected to be approximately $80 million and will be financed from either the company's credit facility or from cash on hand. The closing date is anticipated to be in the second quarter. The operations' senior management team and employees will join Celestica upon completion of the agreement. The Semiconductor manufacturing business will continue to be managed by Greg Marvell as Vice President and General Manager.
Celestica's Industrial division provides design, manufacturing, systems integration and after-market services to OEMs in the automation and test equipment, kiosk, banking equipment and semiconductor manufacturing industries.
About Celestica
Celestica is dedicated to delivering end-to-end product lifecycle solutions to drive our customers' success. Through our simplified global operations network and information technology platform, we are solid partners who deliver informed, flexible solutions that enable our customers to succeed in the markets they serve. Committed to providing a truly differentiated customer experience, our agile and adaptive employees share a proud history of demonstrated expertise and creativity that provides our customers with the ability to overcome any challenge.
For further information on Celestica, visit its website at www.celestica.com
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SOURCE Celestica Inc.
CONTACT:
Laurie Flanagan Celestica Communications 416-448-2200 media@celestica.com
Paul Carpino Celestica Investor Relations 416-448-2211 clsir@celestica.com
