INDIANAPOLIS – After 37 years, Diversified Systems Inc., an EMS company based here, has shut down, company sources say.

As of this time we are temporarily closed,” said a company employee who spoke with CIRCUITS ASSEMBLY. “At the moment, we are looking at options.”

DSI was incorporated in 1973 by Stan Bentley and Dave Jessup, the former of whom remained president and the latter was vice president of technology. Originally primarily a bare board fabricator, it phased out those operations during the past two years in order to concentrate on electronics assembly.

The company has a 230,000 sq. ft. factory in Indianapolis. Over the past 18 months, the company’s owners acquired and rolled up Reliant Manufacturing of Longmont, CO, and Aetec – ICM of Phoenix. Sources familiar with the situation told CIRCUITS ASSEMBLY an outside capital investment firm was brought on as a consultant with the understanding it would invest in the company provided DSI undertook certain measures, including shutting down its board fabrication operations. According to the source, while DSI closed those operations, the capital infusion never materialized.

According to the same sources, a major US-based EMS company considered buying the company, but ultimately declined. The company employee declined to comment on that possibility.

The employee said DSI is informing customers through phone calls and outgoing messages on staff voice mail. “We are trying to protect them,” the employee said. “This was completely a shock. In 37 years in business we always tried to do right by [our customers].”

• Prev
• Next