There was a flurry of acquisitions in the electronics supply chain as summer began, with four of Global Purchasing’s Top 50 Electronics Distributors announcing new deals. TTI Inc., Sager Electronics, Master Electronics, and RFMW are all on the acquisition trail.
TTI Buys Astrex
Texas-based TTI Inc., which ranked sixth on the 2014 Top 50 Electronics Distributors report, announced in June its purchase of Plainview, N.Y.-based Astrex Electronics, also a Top 50 company, coming in at number 29 this year.
“I’m very pleased to be bringing Astrex Electronics into the fold of the TTI family of companies,” said Mike Morton, president, TTI Americas. “I am confident that Astrex’s 50 years of focus and success in the military/aerospace connector marketplace will prove to be of exceptional benefit to the customers of all the TTI companies. I’m looking forward to having the Astrex experience and expertise on our team."
TTI had sales of $1.68 billion and Astrex yielded $37.6 million in sales last year. Berkshire Hathaway owns TTI.
"Our team is very excited to be joining the esteemed TTI organization,” added Astrex president Mike McGuire. “Joining an organization with such well-known commitment to connector products, customer service, technical expertise, and resources will allow us to provide our customers with an even higher level of service. We look forward to being a part of the culture and values TTI is known for.”
Astrex will operate independently of the TTI organization until system integration is complete, according to TTI. McGuire will report directly to Morton beginning immediately.
“Astrex’s long history of focus and commitment to their core competency is perfectly and culturally aligned with ours at TTI; to be the best, not the biggest specialty distributor of electronic components in the industry,” said Paul Andrews, TTI founder and CEO. “I’m happy to welcome the Astrex associates and their customers to the TTI and Berkshire Hathaway family.”
Sager Buys PowerGate LLC
Also in June, Sager Electronics—owned by TTI as well—announced that it would buy PowerGate LLC, a North American power specialist distributor headquartered in Santa Clara, Calif. The deal expands Sager’s position in the power market. Sager Electronics ranked 13th on the 2014 Top 50 Electronics Distributors report.
“PowerGate is a recognized power specialist with concentration in select North American markets,” said Sager president Frank Flynn. “This acquisition advances one of our growth strategies and strengthens our position in the market as a power specialist. Sager Electronics will preserve and build upon PowerGate’s specialization by making significant investments in additional key markets and inventory in order to accelerate growth.”
PowerGate president Paul Christiansen will become Sager Electronics’ vice president of supplier marketing and product management for power. Ed Kramar, PowerGate’s current vice president, will remain with the organization in an advisory capacity, according to Sager.
“We are thrilled to become part of an organization that values and understands our business model,” said Christiansen. “My team and I are excited to join the Sager Electronics organization and have the opportunity to service more customers in power with leading-edge technologies, technical sales expertise, and field application engineering.”
RFMW Picks up Axomic Pte. Ltd.
California-based electronic components distributor RFMW Ltd., which came in at number 25 on this year’s Top 50 report, has acquired Axomic Pte. Ltd., a specialty distributor of radio frequency (RF) and microwave components based in Southeast Asia. The deal expands RFMW’s global footprint and enhances its position as an RF-focused, technically proficient distributor serving high-tech customers and suppliers.
“RFMW has a proven track record of providing leading-edge technology from the top suppliers in the RF industry. Their technically adept sales force and product management team provides outstanding customer support,” said Lip Khoon Tang, president and CEO of Axomic Pte. Ltd. “We’re proud to become part of this organization and add our talent to their global resources.”
“We’ve followed the growth of Axomic for quite a while,” added Joel Levine, president and CEO of RFMW Ltd. “We appreciate their focus on customer service, supplier relationships, and business strategy. The fact that their company’s mission and philosophy closely match that of RFMW made the acquisition an easy decision.”
Levine said this spring that RFMW would spend the next few months integrating Axomic into the RFMW network. Axomic will become RFMW Asia.
Master Electronics Buys Electro Sonic
In yet another merger of two Top 50 companies, number 15-ranked Master Electronics purchased number 28, Electro Sonic, which has served customers across Canada for more than 60 years. Electro Sonic will continue to do business under its existing name, according to leaders at Master.
“We are very pleased to have E‐Sonic as part of the Master family,” said Jamil Nizam, Master Electronics president. “A company with such a long and rich history is hard to come by. Electro Sonic’s reputation of customer focus and deep supplier relationships is something we will be proud to carry on. I am confident that with our resources and commitment to inventory, Electro Sonic will carry on as one of the premier Canadian electronic component distributors.”
Electro Sonic serves Canada’s OEM, maintenance, repair, and operations (MRO), and contract manufacturer markets with sales contacts across the country, including Toronto, Montréal, Calgary, Winnipeg, Ottawa, Edmonton, and Québec City.
