Firan Technology Group Corporation completes U.S. acquisition
Dec 13, 2004
Firan Technology Group Corporation (TSX:FTG) announced today that it has acquired from Ambitech International Inc. all of the shares of SnS Enterprises Inc. (dba Young Electronics), a U.S. printed circuit board manufacturer based in Los Angeles, California and focused primarily on the aerospace, defense and oil field industries. Young Electronics had annual revenues of approximately US$10,000,000 (unaudited) in FY04 and was profitable. The acquisition had a cash purchase price of US$5,000,000.
"The purchase of Young Electronics has significant strategic benefit to FTG. We are very pleased as this acquisition reinforces our market focus in aerospace and defense applications. Young's California location places it in the center of one of the largest concentrations of aerospace and defense industries in the U.S. We look forward to continuing to build strong, positive partnerships with Young's customers including Honeywell, Smiths Industries, Harris Corporation and Boeing. For FTG, a U.S. operation is expected to reduce some of the barriers U.S. defense firms have in contracting outside the country. It will also help us move towards more focused production facilities", noted Mr. Brad Bourne, President and Chief Executive Officer.
"For FTG, the acquisition of Young Electronics is expected to reduce currency risks and reduce our exposure to the strengthening Canadian dollar as all of Young's revenues and costs are denominated in a single currency", added Mr. John Bartkiw, Chief Financial Officer.