ANGLETON, TX -- Benchmark Electronics continued its acquisition binge, buying the electronics manufacturing services unit of CTS for $75 million. The transaction is expected to generate annual revenues in excess of $200 million and be accretive to Benchmark's earnings in 2014.
CTS, which has been closing factories around the globe, now has five EMS locations, four in North America and one in Thailand, and approximately 1,000 employees.
Benchmark sought CTS's customers in industrial, aerospace and defense, medical and communications.
"The customer-focused, highly-flexible business model that CTS has embraced makes the organization an excellent cultural fit with Benchmark," says Gayla J. Delly, CEO and president of Benchmark. "This acquisition supports Benchmark's strategic commitment to expand our portfolio of leading customers in non-traditional and highly regulated markets and also allows us to strengthen the depth and scope of Benchmark's New Product Express capabilities on the West Coast."
"Benchmark is a highly compatible fit for the CTS EMS segment's employees and customers," says Kieran O'Sullivan, president and CEO of CTS. "This transaction aligns the EMS business with a well-respected and global EMS provider that can offer expanded services including global design and supply chain management. We will work closely with Benchmark to ensure a smooth transition."
Earlier this year, Benchmark acquired Suntron.