BOSTON – Amphenol Corp. continued its mini acquisition spree today, agreeing to buy Teradyne Inc.’s Connection Systems division for $390 million in cash.

The deal is set to close in 30 to 60 days, pending regulatory and shareholder approvals.

 

TCS makes high-end connectors, circuit boards and backplanes. The division reported sales of $381.7 million in fiscal 2004, 23% of Teradyne's revenue.

TCS has facilities in North America, Europe and Asia and employs approximately 2,250 people worldwide.

A spokeswoman for Teradyne said that TCS and Amphenol have complementary product portfolios. Catherine Palmer, marketing communications manager, told PCD&M that the deal covers the entire TCS staff and management team.

Teradyne will now concentrate on its semiconductor and circuit board assembly test business. “The sale of Connection Systems will sharpen our focus on our core test businesses," said Michael Bradley, Teradyne president and CEO. "That concentration will strengthen our ability to do what we do best - provide our test customers with better products and services that meet their evolving needs. This strategic move also increases our financial flexibility to support our growth plans in our core test businesses.

Teradyne and Amphenol have struck deals before. In 2000, Amphenol purchased Teradyne’s military connector business.  

Earlier this year Amphenol bought the military flexible circuits business of Parlex.

Amphenol makes connectors, cable and interconnect systems.