TE Connectivity is set to acquire Measurement Specialties, a manufacturer of sensors and sensor-based systems, in a deal valued at nearly $1.7 billion.
Measurement Specialties is expecting revenues of $540 million in its current fiscal year.
The acquisition of Measurement Specialties is a key part of its strategy to become a leader in the sensor industry. The addition of Measurement Specialties adds nearly $40 billion to TE’s addressable market, said TE in a statement.
Tom Lynch, chairman and CEO of TE Connectivity, said: “The acquisition enables TE to provide customers with an unmatched range of connectivity and sensor solutions that are essential in a world where everything is increasingly connected.”
TE’s scale and Measurement Specialties’ sensor product range will create double-digit growth in TE’s sensor business. In addition, TE expects to achieve cost and tax synergies.
This apart, the combination of Measurement Specialties with TE creates the leading provider of highly engineered connectivity and sensor solutions. This combination will enable TE to provide a broader range of solutions for its customers and will increase TE’s content per application.