MINNEAPOLIS -- EMS provider Nortech Systems has signed an agreement to purchase Telex Communications' 140,000-sq. ft. manufacturing facility in Blue Earth, MN, in a move to bolster its aerospace systems business.

The sale is scheduled to close on June 30; terms were not announced.


The manufacturing capacity will be used to supplement Nortech Systems' aerospace systems operations in Fairmont, MN.

"This new building gives us much-needed space to better capitalize on growth opportunities and improve our operating leverage," said Mike Degen, president and chief executive of Nortech Systems.

"We explored several expansion options before this building became available," adds Degen. "Its proximity and existing use for electronics manufacturing were definite advantages."

Blue Earth is about 20 miles east of Fairmont.

As part of the purchase agreement, Telex has the option to lease up to 50,000 sq. ft. of the Blue Earth facility through the first quarter of 2007 for its printed circuit board assembly operations.