FARMINGDALE, NY -- Cemtrex has entered into an agreement to acquire all assets of an electronics manufacturing company located in northern Germany.

The to-be-acquired company, whose name Cemtrex has not yet disclosed, is a supplier of EMS to major German automotive manufacturers, including Tier 1 suppliers, and has projected annual revenues for the next 12 months of around €30 million.

The transaction is expected to close on May 31.

The target company has does work for telecommunications, industrial goods, luxury consumer products, display technology, and other industrial OEMs.

The automotive electronics market was valued at $185.1 billion in 2015 and is anticipated to grow to $352.9 billion by 2023, per a new research report by Global Market Insights.

Cemtrex, which already has a German subsidiary in the electronics manufacturing sector, said the acquisition will secure a broader base and larger market share in the Eurozone.

"This acquisition is a significant strategic milestone in our effort to strengthen our position in the European EMS market and get into the exponentially growing automotive market," Cemtrex chairman and CEO Saagar Govil said. "German automobile companies are driving innovation in the industry and we are eager to tap into this market for the future."

It will mark the second strategic acquisition for Cemtrex in this fiscal year. Commenting on the acquisition strategy, Govil said, "We are constantly focused on finding smart acquisitions that can help us scale and achieve sustainable growth and this acquisition falls precisely into our sweet spot when seeking out opportunities."

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