Taiwan cable maker BizLink acquires Singapore peer for $47 mil.
AIPEI, NNA – Electrical cable maker BizLink Holding Inc. will fully acquire Singapore’s electrical gear maker Speedy Industrial Supplies Pte. Ltd. for 65 million Singapore dollars ($47 million) in cash, bolstering its production and sales force in Southeast Asia.
The takeover will help the Taiwanese firm gain more clients in the industrial and medical sectors in the region, public relations officer Jason Yin told NNA Monday.
The Singapore firm specializes in assembling wire harnesses and cables, printed circuit boards and other items for major clients in the aerospace and medical sectors, and “the acquisition will accelerate our capacity,” he said.
The Taipei-listed, Silicon Valley-headquartered firm, which approved the buyout deal at board meeting on Monday, produces cables, wires, harnesses, connectors, and industrial tools globally including in Latin America and Eastern Europe.
“Sales of lineups in medical and industrial fields that require periodic replacements have been steadily growing, and we would like to increase our focus on them,” he said.
The two firms will sign a contract by the end of this month, Yin added.
BizLink relies on the coastal Chinese provinces of Fujian, Guangdong, and Jiangsu for over half of its production, mainly for automotive cables. Amid the spreading new coronavirus outbreak across the mainland, its plants have partially resumed operations with around 20 to 30 percent of the workforce back, according to Yin.
The Taiwanese firm foresees a limited impact from the breakout of COVID-2019 with inventory prepared before the Lunar New Year holidays. The company had already relocated part of production to Southeast Asia and Mexico among other places in the wake of the U.S.-China trade dispute, according to a local media report.