Smiths Interconnect is purchasing Interconnect Devices Inc. (IDI) for $185 million, Smiths announced recently. IDI manufactures proprietary spring probes and uses that technology to build connectors for applications including semiconductor and circuit-board testing, military, medical, and industrial.
Private-equity firm Milestone Partners currently owns IDI and is selling the company to Smiths Group, parent of Smiths Interconnect. Smiths said it expects the all-cash transaction to be completed in early April.
"Smiths Interconnect operates in a fragmented market with many opportunities for consolidation," said Smiths chief executive Philip Bowman. "IDI is its fifth acquisition in two years and meets our strategic criteria of expanding the product range and extending geographic reach. Three of these companies have a strong presence in the fast-growing Asian market and have already expanded our microwave and protection technologies. This transaction also provides a significant Chinese base for our other technology area - connectors."
More than half of IDI's 500-plus employees work at its Suzhou plant in China.
"IDI adds a completely new range of connectors to complement our existing portfolio and provide our customers with a wider range of solutions encompassing multiple connector technologies," said Smiths Interconnect president Ralph Phillips. "With a major plant in China, IDI strengthens our connector operations and will allow us to leverage our existing international sales resources, particularly in Europe, which accounts for a quarter of the global connectors market."
Smiths Group is based in London; IGI's headquarters are in Kansas City, KS.
