Nov 05, 2003 Purchase of Speedline Technologies
FRANKLIN, MASSACHUSETTS, USA, November 5, 2003 � KPS Special Situations Fund II announced today that it has acquired the stock and related assets of Speedline Technologies, Inc. from Cookson Group, plc for a total consideration of $10 million. Speedline�s management will continue to manage the company, under the Speedline Technologies name, following the acquisition.
Based in Franklin, Massachusetts, USA, Speedline is a leading global producer of manufacturing equipment and services for the printed circuit board and semiconductor packaging industries. Speedline�s four core product lines � MPM�, Electrovert�, Accel�, and Camalot� -- and its Protect services together provide a comprehensive product and service line for customers� Surface Mount Technology (SMT) and Semiconductor Packaging requirements. Speedline has the largest installed base in the SMT industry and its clients include many of the world�s blue-chip electronics companies.
KPS acquired the stock and related assets of Speedline Technologies, Inc. through a newly formed company. KPS will invest substantial capital in the new company to fund working capital requirements at Speedline. KPS will use its operational expertise to implement a strategy designed to improve the performance of the company, capitalizing on its strong brands and leadership positions in the markets that it serves.
�We are excited about the potential of the Speedline business and being involved in its emergence as a vibrant, independent company,� said David Shapiro, a Founding and Managing principal of KPS. �This is a company with a premier global franchise operating in a challenging industry environment, and we are confident that with a solid financial foundation and our operational and management expertise that Speedline is positioned for rapid growth in a recovering economy.�
Speedline�s President, Pierre de Villemejane, commented, �KPS� commitment to Speedline validates the quality of our assets, management, and employees. KPS has the financial resources to make a significant investment in Speedline, giving us the opportunity to continue developing world-class products and services. We will emerge from this process with a well capitalized balance sheet and the financial strength to withstand a prolonged market recession, but also well positioned for long-term growth in a competitive capital equipment market.�
About Speedline Technologies
Speedline Technologies is the global value leader for single source process expertise, solutions, and service to the PCB assembly industry. The company sells five, best-in-class brands � ACCEL microelectronics cleaning, CAMALOT dispensing and conformal coating systems, ELECTROVERT wave soldering, reflow soldering, and cleaning equipment, MPM stencil and wafer bump printing systems, and PROTECT global services, support, and training solutions. For more information, visit us at http://www.speedlinetech.com.
About KPS
The KPS Special Situations Funds are a family of private equity funds focused on constructive investing in restructurings, turnarounds and other special situations. KPS has created new companies to purchase operating assets out of bankruptcy; established stand-alone entities to operate divested assets; and recapitalized highly leveraged public and private companies.
KPS� investment strategy targets companies with strong franchises, but which may be experiencing operating and financial problems. KPS invests its capital concurrently with a turnaround plan predicated on cost reduction, capital investment and capital availability. The KPS turnaround plan is accompanied by a financial restructuring of the company�s liabilities. The KPS investment strategy and portfolio companies are described in detail at http://www.kpsfund.com.
