Mycronic acquires Shenzhen Axxon Automation Co.,Ltd Tby, 1

New Post Public Reply Private Reply Replies (0) Message Board

News Desk 2018

Aug 1, 2016 at 2:45 AM

Mycronic acquires Shenzhen Axxon Automation Co.,Ltd

Täby, 1 August, 2016 – Mycronic AB (publ), has signed an agreement to acquire 75 percent of Shenzhen Axxon Automation Co.,Ltd (Axxon) for a cash consideration of approximately SEK 430 million. The acquisition will be financed through own funds. As part of the agreement Mycronic will acquire the remaining shares of the company in two steps – an additional 5 percent will be acquired within this year and the last 20 percent after three years. The purchase price for the last part after three years will be set based on parameters such as growth and earnings, which may include changes compared to the current valuation. Axxon develops, manufactures, and sells dispensing equipment for the electronics industry and has obtained a leading position in the SMT market in China in a short time. China represents approximately 40 percent of the global dispensing market, a market worth several hundred million US dollars. The company’s head office is located in Shenzhen, China and has currently approximately 240 employees. Axxon has obtained this position through a strategy to develop mainstream products, combined with fast response time to customer and market requirements. This has enabled Axxon to operate with high growth and good margins. In 2015 net sales increased over 100 percent to approximately SEK 150 million with an EBIT margin exceeding 20 percent. Mycronic’s strategy for growth includes organic growth as well as acquisitions to reach sustainable net sales above SEK 2 billion. This deal is part of the growth strategy. A key strategy for Mycronic’s business area SMT is to leverage the company’s leading position in solder paste jetting technology and to further expand into the general dispensing market. Axxon’s market and technology position, combined with Mycronic’s position and technology from forty years of inno-vation and global market presence, is highly complementary and synergetic. The combined businesses will create one of the leading dispensing equipment companies globally. “With the acquisition of Axxon we are taking the next step in our strategy for our SMT business. Overnight we are creating a leading dispensing business globally. Axxon’s technology is complimentary to ours. We see great value in Axxon’s market position in the important SMT market in China, but we also see value in the know-how represented by the people in Axxon.”, says Lena Olving, President and CEO of Mycronic. "Axxon is very pleased to join Mycronic, we admire Mycronic’s advanced technology. Axxon has enjoyed rapid growth in recent years, and has become a leader in the dispensing equipment industry in China with a high-value customer base in the smart phone and other mobile devices industry. It has a market driven, talented management team and solid technical strength. I believe that under the leadership of Mycronic, Axxon will soon become a global leading brand of dispensing equipment.", says Chen Long, Chairman of Axxon. Mr Chen is the successful entrepreneur who founded Shenzhen Axxon Automation Co.,Ltd in 2008. Previous to that, Mr Chen has many years’ experience within several industries and founded his first company in 1996. Mr Chen remains as shareholder in Axxon. The acquisition is expected to be finalized by the end of September 2016 following regulatory approvals. INVITATION TO CONFERENCE CALL With reference to today’s press release, Mycronic holds a conference call today 1 August, 2016 at CET 11 am. Lena Olving, CEO and Per Ekstedt, CFO is then available for questions. To join the conference call, dial: SE +46 (0)8 503 365 94 Std int +44 (0) 2031 808080 Conference code: 3070469006 Contacts at Mycronic: Lena Olving President and CEO Per Ekstedt CFO For coordination of press and analyst contacts regarding this information: Anna Ulinder Investor relations officer Tel: +46 8 638 52 00 anna.ulinder@mycronic.com About Mycronic AB Mycronic AB is a Swedish high-tech company engaged in the development, manufacture and marketing of production equipment for the electronics industry. Mycronic headquarters are located in Täby, north of Stockholm and the Group has subsidiaries in China, France, Germany, Japan, Singapore, South Korea, the Netherlands, United Kingdom and the United States. For more information see our web site at: www.mycronic.com Mycronic AB (publ) is listed on NASDAQ Stockholm, Mid Cap: MYCR. The information is of the type that Mycronic is required to disclose in accordance with the EU Market Abuse Regulation and the Swedish Securities Act. The information was submitted for publication, through the contact person stated above, on 1 August, 2016, at 8.30 am.

Newer

Older

Scroll down for more posts ▼

Top 10 Most Recent News Articles

Jacob Walthour to Be Honored for Economic Leadership

The Honoring of Leadership That Goes Beyond Business In a world where financial influence often feels like it funnels into the same familiar pockets, the news of Jacob Walthour Jr.'s upcoming recognition feels like a fresh breeze of change. The Alpha Phi Alpha's Alpha Alpha Lambda Chapter is rolling out the red carpet at its Centennial Gala for Walthour, throwing him into...

Ransoms and Mega-Losses Surge in Cyber Claims Study

Cyber Costs Skyrocket in Latest Study NetDiligence’s 2026 Cyber Claims Study isn't just another report—it’s a wake-up call. The numbers paint a stark picture: cyber incidents are burning deeper holes in pockets, and no one's immune. Whether you're a scrappy SME or a lumbering corporate giant, this report puts a magnifying glass to the chilling reality of cyber...

B2B Growth Hinges on Narrative Coherence, Study Shows

Clear Stories, Stronger Growth If companies can't tell a clear story that their buyers understand and believe, they're destined to stagnate. That's the blunt reality kompeld is pushing with their H2 2026 Narrative Coherence Benchmark. The report scores 150 B2B tech companies on their narrative coherence, showing there's a stark correlation between storytelling and growth....

2026 CEE Awards Highlight Energy Innovation Leaders

Showcasing Cutting-Edge Home Energy Innovations It's that time of year again when the brightest innovators in home energy solutions get a nod from the Consortium for Energy Efficiency (CEE). This year's Integrated Home Competition spotlighted five trailblazing products that promise to reshape how we think about energy efficiency, demand flexibility, and sheer user comfort...

NY Sheriffs' Court Battle: Immigration Policies Under Fire

Sheriffs Clash with State Over Immigration Policies In a tense showdown reminiscent of an old-time standoff, 15 New York county sheriffs have drawn their battle lines against the state’s capricious maneuvers by pushing a federal court to hit the brakes on Albany’s newly minted immigration rule. The so-called “Local Cops, Local Crimes Act” is catching serious heat,...

Paula's Choice Elevates Skincare Game with New Campaign

Strategy Meets Skincare: Paula's Choice in the Spotlight Catch this: Paula's Choice just dropped a moisturizer, but it ain't just lotion. No, the Pro-Collagen Peptide Plumping Intensive Moisturizer is here with a punch. And they've got Hannah Waddingham, of 'Ted Lasso' fame, fronting a campaign that screams confidence. Now, that's a way to announce your move at the...

Red Banyan Earns Top Honors in Florida for 2026

Red Banyan: A Powerhouse in Reputation Management Boy, have you ever watched a company rise through the ranks almost like a caffeine kick on a drowsy morning? That's Red Banyan for you. This outfit, right out of Fort Lauderdale, snagged the '2026 Best of Florida' award as the cream of the crop in the Business Consulting Firms category. It’s like taking home an Oscar in...

NOAA Taps ICEYE US for Game-Changing SAR Satellite Data

The Strategic Move to SAR Data Imagine this: You’re in the thick of a hurricane, where visibility goes out the window, and traditional satellite data chokes under the crushing weight of clouds and nightfall. That's the precise chaos ICEYE US is cutting through with its Synthetic Aperture Radar (SAR) technology. The latest scuttlebutt is that NOAA's getting cozy with...

Koogler's Sale to ALL4: A Game-Changer for the Southeast

A Strategic Alignment Unfolds in Environmental Engineering Ever notice how those industry shifts often sneak up on you, only to leave a mark that's hard to ignore? That's exactly what's playing out with Koogler & Associates' recent hookup with ALL4 LLC. Set aside that coffee, this one's too important to miss if you've got a stake in the environmental consulting game or...

TGI Fridays Unveils New 3 For All Menu Options

Hedging Bets on New Dining Strategies Oh, the restaurant battlefield—where one day you're the toast of the town, and the next, you're hustling to keep those seats filled. TGI Fridays, a name as synonymous with casual eats as long as I’ve been in this game, is rolling the dice with a new offering dubbed '3 For All.' Doesn't sound like your average meal deal either....