Acquisition expands Avnet's footprint in the Defense Aerospace
vertical
PHOENIX--(BUSINESS WIRE)--
Avnet,
Inc. (NYSE:AVT)
announced today that it has agreed to acquire substantially all of the
operating assets of Universal
Semiconductor, Inc., "USI Electronics," a distributor of discrete
semiconductor, passive and electromechanical components to the military
and aerospace customers. USI Electronics services a broad customer base
of small, medium, and large OEM business partners and differentiates
itself by having the flexibility to provide same day shipping, same day
tape and reeling, and personalized service while offering the
technological solutions necessary to compete as a world-class global
distributor. This transaction is expected to close within thirty days
and will be integrated into Avnet Electronics Marketing, Americas.
"This acquisition is of strategic importance as it enhances our
competitive position in the higher value defense and aerospace segment,"
said Ed Smith, president Electronics Marketing, Americas. "USI is a
respected leader and established player in the space with a strong
emphasis on providing business partners a best-in-class experience.
Their value proposition complements our strategy as we extend our
leading position in serving the electronic component needs of this vital
segment."
Founded in 1982, with headquarters in Fort Lauderdale, Florida, USI
Electronics operates on the premise that military component purchasing
is made easier by offering superior specialized service. USI's
philosophy is to solve the complex component needs of the military
customer via a service team offering exceptional product knowledge and
service backed by inventory depth and breadth. USI Electronics has 58
employees across five offices in US and one in Denmark. The company
generated revenue of approximately US $70 million in the 2011 calendar
year.
This acquisition is expected to be immediately accretive to earnings and
supports Avnet's return on capital goal of 12.5%.
Forward-Looking Statements
This press release contains certain "forward-looking statements" within
the meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended.
These statements are based on management's current expectations and are
subject to uncertainty and changes in facts and circumstances. The
forward-looking statements herein include statements addressing future
financial and operating results of Avnet and may include words such as
"will," "anticipate," "expect," believe," "intend," and "should," and
other words and terms of similar meaning in connection with any
discussions of future operating or financial performance or business
prospects. Actual results may vary materially from the expectations
contained in the forward-looking statements.
The following factors, among others, could cause actual results to
differ materially from those described in the forward-looking
statements: the Company's ability to retain and grow market share and to
generate additional cash flow, risks associated with any acquisition or
disposition activities, the successful integration of acquired
companies, any significant and unanticipated sales decline, changes in
business conditions and the economy in general, changes in market demand
and pricing pressures, any material changes in the allocation of product
or product rebates by suppliers, allocations of products by suppliers,
other competitive and/or regulatory factors affecting the businesses of
Avnet generally.
More detailed information about these and other factors is set forth in
Avnet's filings with the Securities and Exchange Commission, including
the Company's reports on Form 10-K, Form 10-Q and Form 8-K. Except as
required by law, Avnet is under no obligation to update any
forward-looking statements, whether as a result of new information,
future events or otherwise.
About Avnet
Avnet, Inc. (NYSE:AVT),
a Fortune 500 company, is one of the largest distributors of
electronic components, computer products and embedded technology serving
customers globally. Avnet accelerates its partners' success by
connecting the world's leading technology suppliers with a broad base of
customers by providing cost-effective, value-added services and
solutions. For the fiscal year ended June 30, 2012, Avnet generated
revenue of $25.7 billion. For more information, visit www.avnet.com.
(AVT_IR)
Visit Avnet's Investor Relations Website at www.ir.avnet.com
or contact us at investorrelations@avnet.com.
Investor Relations Contact:
Avnet, Inc.
Vincent Keenan,
480-643-7053
Vice President, Investor Relations
vincent.keenan@avnet.com
or
Public
Relations Contact:
Avnet, Inc.
Michelle Gorel, 480-643-7653
Vice
President, Public Relations
michelle.gorel@avnet.com
Source: Avnet, Inc.
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