Tuesday 10 January 2017

Bizlink to acquire cable assembly business from Germany-based Leoni

Connector maker Bizlink has recently announced it will invest EUR50 million (US$52.64 million) to acquire Germany-based Leoni's cable assembly business group. Bizlink expects the transaction to benefit the company's expansion in Europe.
Bizlink has been aggressively looking to land orders from first-tier brand vendors in Europe and the acquisition will also allow the company to acquire a production base in Europe. The transaction is expected to be competed in the first half of 2017, but the business group will not start contributing until the second half.
Bizlink announced consolidated revenues of NT$882 million for December 2016, up 7.16% on month and 3.63% on year and also a monthly historical record for the company. The company's consolidated revenues were NT$9.21 billion in 2016, up 9.43% on year.
For 2017, thanks to rising demand for electric vehicles (EV), some market watchers expect Bizlink's clients in Europe and China to enjoy strong growth which will benefit Bizlink. Bizlink's revenues from the EV business are expected to grow more than 70% on year in 2017, the market watchers estimated.
Bizlink saw strong orders for IT and EV cables in December, while its medical cable shipments also enjoyed slight growth. The company's docking station and dongle products also saw increased shipments thanks to orders from a US-based client for its enterprise tablet products.

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