RNS Number:8448S
TT electronics PLC
04 December 2003


          TT electronics plc acquires Optek Technology Inc. ("Optek")

             Significant expansion of the group's sensor operations


TT electronics announces the acquisition of Optek Technology Inc. from The
Dyson-Kissner-Moran Corporation. Optek's head office is in Carollton, Texas with
its manufacturing facility in Juarez, Mexico. The company is a well-established
sensor manufacturer serving a blue chip customer base.

This acquisition represents a significant expansion of TT electronics' sensor
activities in the USA, strengthening the group's position within its current
technical capabilities and introducing new related technologies with the
addition of optoelectronic and fibre optic sensors. Approximately 40 per cent of
Optek's sales are Hall Effect sensors for the automotive market. Demand for
these sensors is growing as the electronic content of vehicles continues to
increase. Other key products within the Optek range are infrared light emitting
transmitters and receivers, optoelectronic assemblies and fibre optic sensors
which are used in a broad range of markets including office equipment, factory
automation, medical, aerospace and data communications.

The purchase consideration is $51.3 million (#30.2 million) (subject to
completion accounts) for net assets of $21.0 million (#12.4 million) as at 31
January 2003. The whole of the consideration is payable in cash using the
group's existing resources. Optek will be acquired debt free.

Optek's sales were $68.6 million (#40.4 million) in the year ended 31 January
2003 on which it achieved earnings of $4.0 million (#2.4 million) before
interest, tax and goodwill amortisation of $2.7 million (#1.6 million). Earlier
this year Optek closed its silicon wafer manufacturing facility and consolidated
all manufacturing in Juarez, Mexico resulting in a significant improvement in
profitability. The acquisition of Optek will enhance TT electronics' earnings
per share in the coming year.

Post acquisition Optek will benefit from access to TT electronics' European and
Far East sales organisation and its global distribution network. In addition,
Optek's Juarez facility will provide a further low cost manufacturing base in
North America and TT electronics' Malaysian operation will provide Optek with a
Far East manufacturing plant for discrete optoelectronic sensors.

The combination of Optek with TT electronics' existing sensor business will
broaden the group's worldwide customer base and increase its product portfolio.
The acquisition will enhance the group's position in the USA automotive market
for electronic sensors and systems, a key growth market for the group. TT
electronics intends to capitalise upon Optek's strong position in the office
equipment market to increase sales of other group products.

Commenting on the acquisition, John Newman, Executive Chairman of TT electronics
said

"I am delighted that after an extensive search we have identified an acquisition
which both creates clear business synergies and satisfies our financial
criteria. The acquisition of Optek will significantly expand our sensor
activities in terms of technology, customer base and product range as well as
increasing our low cost manufacturing capacity. The acquisition of Optek will
enhance TT electronics' earnings per share in the coming year."

Enquiries:

TT electronics plc
John W Newman, Executive Chairman              Tel: 01932 856 647

Biddicks
Zoe Biddick                                    Tel: 020 7448 1000


NOTES TO EDITORS

Optoelectronic Sensors

Optek's optoelectronic technology extends TT electronics' existing LED sensor
capability beyond the familiar visible light LEDs into the infrared part of the
spectrum. Optek's infrared light emitting diodes ("IRLEDs") are used in office
equipment such as copiers and mail handling devices to monitor the edge of a
moving sheet of paper. They are also incorporated in communications equipment,
medical devices, industrial encoders, defence systems and computer peripherals.
Optoelectronic sensors have applications within the automotive market: Optek
already incorporates the technology in its vehicle door detection systems and is
currently developing an innovative engine cylinder pressure sensor.

Magnetic Sensors

By acquiring Optek TT electronics will strengthen its established position in
the manufacture of magnetic sensor systems, primarily for use in automotive
applications. These sensors incorporate either Hall Effect or magneto-resistive
technology which are ideal for use in hostile environments such as in the
presence of dirt, heat or other adverse conditions. All applications are custom
designed for OEMs with the product development cycle likely to last three or
more years.

TT electronics manufactures Hall Effect sensors in Europe. The acquisition of
Optek will further extend the group's range of sensors for automotive
applications into ignition timing systems, theft-deterrent ignition locks and
power door latches.

Fibre Optics

The acquisition of Optek will introduce fibre optics to TT electronics' range of
technologies. Optek's fibre optic products include transmitters, receivers and
transceivers which interface with the terminated end of a fibre optic cable.
They are used to convert the light signal travelling through the fibre optic
cable to an electrical signal which can be interpreted by a microprocessor.
Applications include local area networks, fibre-to-the-desk, industrial data
links and storage area networks.. Optek has also developed a "Plastic Fibre
Optic Transceiver" (PFOT) which can be used for fibre optic cable connections in
entertainment systems of luxury vehicles. Optek believes that PFOT applications
are likely to grow significantly. In particular, the replacement of copper
wiring harnesses in vehicles with fibre optic cable significantly reduces weight
and is therefore potentially highly attractive for the automotive industry.



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