MALVERN, PA /BUSINESS WIRE/ -- Vishay Intertechnology Inc. announced the acquisition of a specialty capacitor (wet tantalum) product line from Kemet Corp. for $35.2 million and other consideration in the form of a three-year term loan of $15 million. Sales of these products during Kemet's fiscal year ending March 31, 2008, were approximately $16.0 million, of which approximately $7 million represent former Arcotronics products (acquired last year by Kemet), sold mostly outside of the U.S., and approximately $9 million of original Kemet products, sold mostly in the U.S. Worldwide sales during the quarter ending June 30, 2008, were $4.4 million. Closing is scheduled to occur by the close of business Monday, September 15.
Terms of the secured loan of $15 million to Kemet from Vishay include a three-year nonamortizing maturity, an interest rate of LIBOR plus 4%, security consisting of accounts receivable currently in the amount of approximately $34 million, and certain limited events of default.
Dr. Felix Zandman, Executive Chairman of the Board and Chief Technical and Business Development Officer, and Dr. Gerald Paul, President and CEO, stated, "With this acquisition, we broaden our product portfolio in specialty capacitors used in military, aerospace, and medical applications. It fits our strategy to expand our product offering in specialty lines."
Vishay Intertechnology Inc., a Fortune 1000 Company, is one of the world's largest manufacturers of discrete semiconductors (diodes, rectifiers, transistors, and optoelectronics and selected ICs) and passive electronic components (resistors, capacitors, inductors, sensors, and transducers). These components are used in virtually all types of electronic devices and equipment, in the industrial, computing, automotive, consumer, telecommunications, military, aerospace, and medical markets. Its product innovations, successful acquisition strategy, and ability to provide one-stop shop service have made Vishay a global industry leader.