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TTM technologies, inc. signs definitive agreements for SYE and DMC plants
for immediate release
COSTA MESA, CA - March 18, 2013 - TTM Technologies, Inc. (Nasdaq: TTMI), a major global printed circuit board (PCB) manufacturer, today announced that it has signed definitive agreements with its minority partner, Shengyi Technology Co. Ltd. (Sytech) (Shanghai: 600183:CH), to sell TTM's 70.2 percent equity interest in the SYE plant to Sytech and to acquire Sytech's 20 percent equity interest in the DMC plant. TTM announced it signed a letter of intent for the transaction in February 2013. Both the SYE and DMC plants primarily manufacture conventional PCBs and are located in Dongguan, China.
The transaction is expected to close by the end of the second quarter of 2013, subject to certain closing conditions between the parties and regulatory approvals. TTM anticipates the transaction will generate approximately $84 million net for TTM, and expects to use about $40 million of the proceeds to repay an intercompany loan to SYE. The negotiated purchase prices valued SYE at 1 billion RMB (approximately $161 million USD) and DMC at 900 million RMB (approximately $145 million USD).
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