Electronic components distributor Avnet Inc. (AVT: Quote), said Thursday it has agreed to acquire substantially all of the operating assets of privately-held USI Electronics. The financial terms of the deal were not disclosed.
Avnet, based in Arizona, expects the deal to be immediately accretive to earnings and supports its return on capital goal of 12.5 percent.
The transaction is expected to close within thirty days and will be integrated into Avnet Electronics Marketing, Americas.
Florida-based USI Electronics is a distributor of discrete semiconductor, passive and electromechanical components to the military and aerospace sector. The company services a broad customer base of small, medium, and large OEM business partners.
USI Electronics has 58 employees across five offices in US and one in Denmark. The company generated revenue of about $70 million in the 2011 calendar year.
"This acquisition is of strategic importance as it enhances our competitive position in the higher value defense and aerospace segment," said Ed Smith, president Electronics Marketing, Americas.
Shares of Avnet are trading at $31.09, up 0.55%, on the NYSE.
by RTT Staff Writer
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