-
- News
- Books
Featured Books
- smt007 Magazine
Latest Issues
Current IssueComing to Terms With AI
In this issue, we examine the profound effect artificial intelligence and machine learning are having on manufacturing and business processes. We follow technology, innovation, and money as automation becomes the new key indicator of growth in our industry.
Box Build
One trend is to add box build and final assembly to your product offering. In this issue, we explore the opportunities and risks of adding system assembly to your service portfolio.
IPC APEX EXPO 2024 Pre-show
This month’s issue devotes its pages to a comprehensive preview of the IPC APEX EXPO 2024 event. Whether your role is technical or business, if you're new-to-the-industry or seasoned veteran, you'll find value throughout this program.
- Articles
- Columns
Search Console
- Links
- Events
||| MENU - smt007 Magazine
Mycronic Acquires Shenzhen Axxon Automation
August 1, 2016 | Mycronic ABEstimated reading time: 2 minutes
Mycronic AB has signed an agreement to acquire 75% of Shenzhen Axxon Automation Co. Ltd for a cash consideration of approximately SEK 430 million. The acquisition will be financed through own funds. As part of the agreement, Mycronic will acquire the remaining shares of the company in two steps – an additional 5% will be acquired within this year and the last 20% after three years. The purchase price for the last part after three years will be set based on parameters such as growth and earnings, which may include changes compared to the current valuation.
Axxon develops, manufactures, and sells dispensing equipment for the electronics industry and has obtained a leading position in the SMT market in China in a short time. China represents approximately 40% of the global dispensing market, a market worth several hundred million US dollars. The company’s head office is located in Shenzhen, China and has currently approximately 240 employees. Axxon has obtained this position through a strategy to develop mainstream products, combined with fast response time to customer and market requirements. This has enabled Axxon to operate with high growth and good margins. In 2015 net sales increased over 100% to approximately SEK 150 million with an EBIT margin exceeding 20%.
Mycronic's strategy for growth includes organic growth as well as acquisitions to reach sustainable net sales above SEK 2 billion. This deal is part of the growth strategy.
A key strategy for Mycronic's business area SMT is to leverage the company's leading position in solder paste jetting technology and to further expand into the general dispensing market. Axxon's market and technology position, combined with Mycronic's position and technology from forty years of innovation and global market presence, is highly complementary and synergetic. The combined businesses will create one of the leading dispensing equipment companies globally.
"With the acquisition of Axxon we are taking the next step in our strategy for our SMT business. Overnight we are creating a leading dispensing business globally. Axxon's technology is complimentary to ours. We see great value in Axxon's market position in the important SMT market in China, but we also see value in the know-how represented by the people in Axxon," says Lena Olving, President and CEO of Mycronic.
"Axxon is very pleased to join Mycronic, we admire Mycronic’s advanced technology. Axxon has enjoyed rapid growth in recent years, and has become a leader in the dispensing equipment industry in China with a high-value customer base in the smart phone and other mobile devices industry. It has a market driven, talented management team and solid technical strength. I believe that under the leadership of Mycronic, Axxon will soon become a global leading brand of dispensing equipment.", says Chen Long, Chairman of Axxon.
Chen is the successful entrepreneur who founded Axxon in 2008. Previous to that, he has many years' experience within several industries and founded his first company in 1996. Chen remains as shareholder in Axxon.
The acquisition is expected to be finalized by the end of September 2016 following regulatory approvals.
Suggested Items
Connect the Dots: Designing for Reality—The Pre-Manufacturing Process
05/08/2024 | Matt Stevenson -- Column: Connect the DotsI have been working with Nolan Johnson on a podcast series about designing PCBs for the reality of manufacturing. By sharing lessons learned over a long career in the PCB industry, we hope to shorten learning curves and help designers produce better boards with less hassle and rework. Episode 2 deals with the electronic pre-manufacturing process. Moving from CAD (computer-aided design) to CAM (computer-aided manufacturing) is a key step in PCB manufacturing. CAM turns digital designs into instructions that machines can use to actually build the PCB.
AIM Solder Signs Shinil Fl Ltd. as New Distributor for Korea
05/08/2024 | AIM SolderAIM Solder, a leading global manufacturer of solder assembly materials for the electronics industry, is pleased to announce a new distribution partnership with Shinil Fl Ltd., a prominent supplier of technological solutions in the SMT and semiconductor sectors.
Indium Corporation to Showcase HIA Materials at ECTC
05/07/2024 | Indium CorporationAs an industry leader in innovative materials solutions for semiconductor packaging and assembly, Indium Corporation® will feature its advanced products designed to meet the evolving challenges of heterogeneous integration and assembly (HIA) and fine-pitch system-in-package (SiP) applications at the 74th Electronic Components and Technology Conference (ECTC), May 28‒31, in Denver, Colorado.
Indium Corporation Expert to Present on Pb-Free Solder for Die-Attach in Discrete Power Applications
04/30/2024 | Indium CorporationIndium Corporation Product Manager – Semiconductor Dean Payne will present at the Advanced Packaging for Power Electronics conference, hosted by IMAPS, held May 8-9 in Woburn, Massachusetts, USA.
Taiyo Circuit Automation Installs New DP3500 into Fuba Printed Circuits, Tunisia
04/25/2024 | Taiyo Circuit AutomationTaiyo Circuit Automation is proud to be partnered with Fuba Printed Circuits, Tunisia part of the OneTech Group of companies, a leading printed circuit board manufacturer based out of Bizerte, Tunisia, on their first installation of Taiyo Circuit Automation DP3500 coater.