logo
  

Norway's Eltek To Be Bought By Taiwan's Delta Electronics For $530 Mln; Stock Up

Shares of Norway-based Eltek ASA climbed around 17 percent in the morning trading in Oslo after the company agreed to be acquired by Delta Electronics, Inc. (DLETF.PK, DLETY.PK), a Taiwan-based provider of power and thermal management solutions.

Under the deal, Delta's unit Deltronics (Netherlands) B.V. will acquire Eltek through public offering at 11.75 Norwegian kroner per share. The estimated total value for the deal is 3.9 billion kroner or $530 million. The transaction is expected to complete by June 2015.

Etablished in 1971, Eltek manufactures, and markets power supplies. The firm has 2,400 employees at 60 offices in almost 40 countries worldwide, mainly in European and American markets. Eltek reported revenues of 3.7 billion kroner in 2013. The company focuses on power electronics markets and is one of the leaders in telecom power business and a growing force in industrial and datacenter applications.

Delta said the strategic acquisition marks a significant step to the firm and brings to both Delta and Eltek the unique synergy to leverage engineering, sales and global operations platforms.

According to the firm, the transaction is mutually beneficial and unleashes huge potential to solidify its leadership and long-term growth opportunity in global power business.

In Oslo, Eltek shares were trading at 11.45 kroner, up 17.20 percent.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Royal Caribbean Group's ultra-luxury brand Silversea Cruises is set to launch the world's first hybrid-powered cruise ship in the summer of 2023. This will also be the first ship with large-scale fuel cell technology to enable emission-free port operations. The fuel cells will provide 100% of power while at port. Affco USA is recalling around 24,461 pounds of frozen raw lamb shoulder products that were not presented for import re-inspection into the U.S., the U.S. Department of Agriculture's Food Safety and Inspection Service or FSIS announced. The recall involves the frozen raw lamb shoulder items that were imported on July 12, 2021. American Express Company (AXP) reported an increase in profit for the third quarter that also topped Wall Street estimates. Consolidated total revenues net of interest expense rose 25 percent year-on-year, primarily reflecting growth in Card Member spending, as well as a rise in the average discount...
Follow RTT