Jabil Buys Celetronix

Jabil Circuit, a leading electronics contract manufacturer, said Wednesday that it has acquired Celetronix, a Indian-based contract manufacturing firm headquartered in Simi Valley. Jabil said that it would pay $155 million plus the assumption of approximately $30 million of net debt for the firm. Jabil had a purchase option to acquire all outstanding stock of Celetronix as part of a $25M loan in 2005. Jabil said that it was acquiring Celetronix because it felt that India will become an increasingly important location to support hardware development and manufacturing for export to the global market. Celetronix is headed by Jugi Tandon, founder of Tandon Corp. Jabil said that the acquisition adds 5,750 employees and 270,000 square feet of manufacturing space in Mumbai, Chennai, and Pondicherry.