Electronics manufacturer purchased by Power-One

Camarillo-based Power-One announced its recent acquisition of the Power Electronics Group of Magnetek Inc. for $71.7 million. As part of the deal, Power-One assumed about $17 million in debt from the Chatsworth company. The deal is expected to close in October.

Magnetek makes a wide assortment of electronics from data processing and storage units to elevator control systems. The Power Electronics Group sells power supplies and alternative energy products to an international manufacturing and business market. "This acquisition will be addi

tive to earnings per share, even without any synergies, and presents significant opportunities to further our strategic goals," Steve Goldman, chairman of Power-One said in a recent press release.

"This acquisition will increase Power-One's revenue by over 50 percent...Power Electronics Group has been an excellent contributor to Magnetek and its addition will augment Power-One in a number of ways," Goldman said, "including adding lowcost manufacturing capability in China, custom design resources in Europe, and entry into the Alternative Energy market."

According to Bill Yeates, Power-One's CEO, the buyout makes Power-One the world's sixth largest power supply company.

"The combined purchasing power will enable us to continue to compete effectively in the higher-volume markets, including servers and storage," Yeates said.

"Additionally, through the acquisition, we will have our own 230,000squarefoot manufacturing plant in China that is designed for highvolume and lowcost production," he said.

Power Electronics Group is made up of operations in Italy, Hungary, China and the United States with approximately 500,000 square feet of manufacturing space and 1,200 employees.

Power Electronics Group's customers include Alcatel, Electrolux, Google, IBM, Indesit, Motorola and Siemens. Applications include servers, storage, alternative energy, telecom systems,

intelligent control products, transportation, industrial and other related industries.

-Daniel Wolowicz