Elcoteq and Cellon enter into agreement

Elcoteq Network Corporation and Cellon International have reached agreement on cooperation that will position Elcoteq as a preferred manufacturing partner to Cellon. The agreement brings together a leader in communications electronics manufacturing services and the world‚s largest independent wireless design and development house. As a result of the agreement, Elcoteq and its customers are able to access the combined expertise of more than 700 engineers at mobile phone design units around the world. In addition to the cooperation agreement, Elcoteq became a shareholder in Cellon. Elcoteq invested USD 12.5 million in Cellon‚s shares. The parties have also agreed that Elcoteq will have its representative on Cellon's board of directors. "This co-operation agreement with a leading independent mobile phone designer could not be better suited to our communications technology strategy. We are immensely satisfied with the rapid start to collaboration with Cellon, new customers and our position as Cellon's preferred manufacturer," commented Elcoteq's President and CEO Lasse Kurkilahti. "The Cellon-Elcoteq agreement creates an alliance between two companies that bring tremendous focus and expertise in their respective segments of the mobile phone supply chain. As partners, Cellon and Elcoteq complement each other remarkably, with our different expertise but shared focus on serving global customers. The agreement provides customers with an unprecedented service offering that combines expertise and global scale with the ability to leverage significant cost benefits." stated Jason Sun, President and CEO of Cellon. Source: PCBnewsline