Kimball Electronics Completes the Divestiture of its Automation, Test, and Measurement Business; Enhancing the Company’s Strategic Focus on Core Electronics Manufacturing Services
August 01 2024 - 8:30AM
Business Wire
Kimball Electronics, Inc. (Nasdaq: KE) today announced the
completion of the divestiture of its Automation, Test, and
Measurement (AT&M) business. The sale to Averna Technologies
Inc. closed on July 31, 2024, with the proceeds from the
transaction being used for support of organic growth, debt
reduction, and share repurchases.
Kimball Electronics entered the automation, test, and
measurement industry with the acquisition of Global Equipment
Services, Inc. (GES) in 2018. In May 2024, it announced that
AT&M had been classified as a business held for sale. AT&M
provides advanced testing and inspection solutions for
manufacturers in the industrial, medical, consumer electronics, and
semiconductor sectors.
Commenting on today’s announcement, Richard D. Phillips, Chief
Executive Officer of Kimball Electronics, stated, “While we have
made significant strides enhancing our capabilities in AT&M
since the acquisition of GES, we determined that it is not a good
strategic fit for Kimball and that focusing on core EMS operations
aligns best with strategic priorities and longer-term growth
opportunities for the Company. AT&M will be well-positioned
under new ownership with expertise in testing and measurement,
broad industry knowledge, and established client relationships. We
thank the team for their contributions and wish them success moving
forward.”
“The addition of the GES team, and its footprint in Silicon
Valley and Asia, is a perfect fit for Averna,” explained Francois
Rainville, CEO of Averna. “This will further strengthen our
position as one of the worldwide leaders focused in automation,
test, and measurement. Now with 1,200 professionals spanning across
the Americas, Europe and Asia, we can better partner with our
global customers in all aspects of their product test requirements,
wherever they are. We welcome our new teammates and are looking
forward to this new chapter in Averna’s story.”
B. Riley Securities acted as the exclusive financial advisor on
the transaction.
About Kimball Electronics,
Inc.
Kimball Electronics is a global, multifaceted manufacturing
solutions provider of electronics and diversified contract
manufacturing services to customers around the world. From our
operations in the United States, China, Mexico, Poland, Romania,
and Thailand, our teams are proud to provide manufacturing services
for a variety of industries. Recognized for a reputation of
excellence, we are committed to a high-performance culture that
values personal and organizational commitment to quality,
reliability, value, speed, and ethical behavior. Kimball
Electronics, Inc. (Nasdaq: KE) is headquartered in Jasper,
Indiana.
To learn more about Kimball Electronics, visit
www.kimballelectronics.com.
Lasting relationships. Global
success.
About Averna
As a global test & quality solution integrator, Averna
partners with product designers, developers, and OEMs to help them
achieve higher product quality, accelerate time to market and
protect their brands. Founded in 1999, Averna offers specialized
expertise and innovative test, vision inspection, precision
assembly and automated solutions that deliver substantial
technical, financial and market benefits for clients in the
aerospace, automotive, consumer electronics, energy, industrials,
medical devices & life sciences, semiconductor, telecom and
other industries. Averna has offices around the world, numerous
industry certifications such as ISO 9001:2015, ITAR registration,
and is partnered with NI, Eclipse Automation, PI, Keysight
Technologies and JOT Automation. www.averna.com
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Andrew D. Regrut Treasurer and Investor Relations Officer
812.827.4151 Investor.Relations@kimballelectronics.com
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