Despite expected delays as a result of the Covid-19 pandemic, Yageo has acquired all of the outstanding shares of Kemet’s common stock for US $27.20 per share in an all-cash transaction, making Kemet a wholly-owned subsidiary.
The deal expands Yageo’s product portfolio, particularly for mission-critical applications with additional sites across North America, Europe and Asia. This will also give Yageo more access to Japan by combining Kemet and Tokin.
The deal also gives Kemet access to Yageo’s presence and sales routes in greater China. Yageo is ranked as the leading global supplier of chip-resistors and No. 3 in a key component, multilayer ceramic capacitors, MLCCs.
The combined company will focus on automotive electronics, 5G networking and communications, robotics and automation and industrial segments, including power supplies. The combined company has with a total of 42 manufacturing plants and 14 dedicated R&D centres working on tantalum capacitors, MLCCs, magnetic, sensors and actuators, and film and electrolytic capacitors
The combination of Yageo and KEMET create company with a turnover of $2.94bn in the $28 to $32bn passive components industry. Kemet has 21 manufacturing facilities and approximately 12,500 employees located in 21 countries in the Americas, Asia and Europe.
“The closing of this transaction is the culmination of an extensive process by the Kemet board in an effort to enhance value for Kemet’s stockholders. Kemet as part of the Yageo family will be well positioned to continue as a leading global provider of passive electronic components,” said William M. Lowe, Jr., Chief Executive Officer of Kemet.