TE Connectivity is set to acquire the business of Xiamen Delixing Electric Equipment (Delixing) and Xiamen SIBAS Connectors (Sibas).
Delixing/Sibas team of approximately 200 employees will join TE following the completion of the deal. This investment is part of TE’s commitment to maintain its presence and local connectivity solutions in China.
Delixing/Sibas’ heavy duty connectors used in machinery equipment, factory automation, power management and railway applications expand TE’s range of solutions for harsh environment applications.
TE Connectivity said Delixing/Sibas — located in Xiamen City in South Fujian, China — generated revenues of $10 million in 2013.
When the transaction is completed – which is expected in fiscal year 2015 – the business will report in to TE’s Industrial Solutions segment.
Thomas Schmidt, senior vice president and general manager, TE Industrial Equipment business unit, said: “Combining the capabilities and geographical reach of both TE and Delixing/Sibas will enable the company to offer its customers some of the most comprehensive products, technology and services within the industry.”
TE’s revenue in China was $2.2 billion in FY 2013 and the company has 1,900 engineers, over 15 manufacturing sites, four R&D centers and 18 sales offices.