Jabil Acquires Lucent’s Shanghai Facility
Online staff -- Electronic News, 5/23/2002
e-insite.net
Contract manufacturer Jabil Circuit Inc. today said it has agreed to acquire most of the assets and business of Lucent Technologies of Shanghai Ltd. (LTOS).
The deal includes LTOS’ 325,000-square-foot manufacturing plant in Shanghai, which houses high-mix manufacturing, specializing in design of electrical, mechanical, CAD and software, circuit board assembly and integration and testing of complete systems. Financial details were not disclosed.
LTOS is a joint venture among Lucent Technologies (China) Co., Ltd., Shanghai Optical Communications Development Co., Ltd., Shanghai Posts & Telecommunications Equipment Co., Ltd. and Shanghai Jiu Shi Corp. The acquisition is still subject to several customary conditions, including government approvals and approval from shareholders of Shanghai Posts.
St. Petersburg, Fla.-based Jabil said it would continue to manufacture optical switching and other communications infrastructure products for Lucent Technologies Inc. under a three-year supply agreement.
"This Shanghai operation will be an important expansion of our Asian manufacturing capabilities. It provides Jabil with key competencies in complex optical assembly and design services," said Bill Peters, Jabil senior VP of operations in a statement. "Shanghai is a primary communications equipment hub for China and this transaction significantly enhances our ability to provide key services for our communications customer base in a critical growth market. The agreement also strengthens our relationship with Lucent."
Jabil said the 500-person staff at LTOS would be able to keep their jobs making optical, switching and other communications products for Lucent. The transaction should be completed during the summer.
"This agreement with Jabil is an important part of Lucent’s |
