Japan-based electronics company TDK has purchased 64.3 per cent of Magnecomp Precision Technology’s (MPT) shares from shareholder Magnecomp International Limited (MIL).
TDK also has an option agreement to purchase 10 per cent more shares within 18 months from 31 December 2007, the completion date of the initial transaction. If TDK exercises the option, the total value of the purchase would be $123m.
In addition to electronic components, TDK’s portfolio includes wireless computers, networking products, magnetic heads for hard disk drives (HDD) and advanced digital media. It hopes that the acquisition of the MPT design and manufacturing of HDD suspension arms will strengthen its HDD magnetic head business.
TDK’s 2007 financial results reflected sales of $7.3bn and net profit of $594m.
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17 months or two and a half years - which is it?