Nordic Business Report-September 14, 2006-Elcoteq SE signs supply agreement with Andrew Corporation and acquires manufacturing unit in Romania
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Helsinki-listed European electronics manufacturer Elcoteq SE, formerly Elcoteq Network Corporation, said on Thursday (14 September) that it had signed a global, long-term manufacturing supply agreement with the US communications equipment manufacturer Andrew Corporation.
Elcoteq will be responsible for consolidating and managing the whole supply chain of Andrew's filter business in Europe and will start manufacturing and system assembly in Mexico on a turnkey basis.
The agreement is expected to increase Elcoteq's net sales by some EUR80m during 2007.
In addition, Elcoteq and Andrew have agreed that Elcoteq will acquire Andrew's manufacturing unit in Arad, Romania, including related equipment, work in progress and inventories.
The total consideration will amount to some EUR15m.
One euro (EUR) is worth approximately 0.67 British pounds (GBP).
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