FOREST GROVE, OR - Merix Corp. has agreed to buy Eastern Pacific Circuits Ltd. for $120 million cash. Merix said the acquisition of the Hong Kong-based PCB supplier includes earn-out consideration of up to $8M based on 2005 adjusted earnings before interest, taxes, depreciation and amortization (EBITDA).

Merix plans to finance the transaction, expected to close in June, with a combination of available cash and debt. Eastern Pacific has four manufacturing plants in southern China and one in Hong Kong. In 2004, Eastern Pacific's preliminary unaudited sales were $143M, with adjusted EBITDA of $14.1M.