In a bid to become an end to end provider for engineering and manufacturing of electronic components, Hero Electronix, a part of $5 billion Hero group has made two more acquisition in South East Asia.
The company on Tuesday announced that it has acquired – Malaysia’s Spectrum Integrated Technologies Sdn Bhd and the test lab business of Singapore’s Lynxemi Pte Ltd. The acquisitions were made through Tessolve, a Hero Electronix Venture and a leading provider of engineering services.
The New acquisitions will add to Tessolve’s strategic capabilities to support its customers, which include leading semiconductor companies, the company said in a statement. The acquisition size is not big, claims the company, but the addition of Spectrum Integrated Technologies and Lynxemi further pushes the cause of the company towards its goal of driving India to be a future hub for manufacturing of electronic systems.
Hero Electronix and its group companies have a planned investment outlay of Rs. 1,000 – 1,200 crore by 2022, aimed at building businesses in the advanced technologies and electronics engineering space. Hero Electronix’s revenue at the end of FY 2017 stood at Rs. 600 crores; Tessolve, a company it acquired in 2016 was a key contributor growing at 40% y-o-y.
Lynxemi operates a test facility supporting customers in new product test development to low volume production of semiconductor chips. The lab is strategically located in Singapore, and adds to Tessolve’sability to support its global semiconductor customers who are expanding their engineering presence in Asia.
Ujjwal Munjal, Founder-Director, Hero Electronix told ET during the past 18 months the company has added strategic capabilities through the embedded acquisition in 2016 and the two new additions in PCB fabrication and test lab will allow Hero Electronix to work more closely with our customers as their strategic partner.
The CEO and Founder of Tessolve, P Raja Manickam says thanks to the association with Hero Electronix, Tessolve has been able to fill the gaps that will allow the company to offer complete solution to the customers which includes engineering capabilities and strategic infrastructure.
By Baishakhi Dutta