COSTA MESA, CA - February 1, 2013 - TTM Technologies, Inc. (Nasdaq: TTMI), a major global printed circuit board (PCB) manufacturer, today announced that it has signed a letter of intent with its minority partner, Shengyi Technology Co. Ltd. (Sytech) (Shanghai: 600183:CH), to dispose of TTM's 70.2 percent equity interest in the SYE plant and to acquire Sytech's 20 percent equity interest in the DMC plant. Both the SYE and DMC plants manufacture conventional PCBs and are located in Dongguan, China. Subject to conclusion of a formal sale and purchase agreement between the parties, the transaction is expected to close by the end of the second quarter of 2013. A condition for closing is that the parties value all of SYE at 1 billion RMB (about $161 million) and all of DMC at 900 million RMB (about $145 million).
"In our Asia Pacific operating segment, we see the strongest growth prospects and customer demand for our advanced technology PCBs," said Kent Alder, CEO of TTM. "When completed, this transaction will reduce our footprint for conventional PCBs in Asia Pacific and should help improve our capacity utilization."
Safe Harbor Statement
This release contains forward-looking statements that relate to future events or performance. These statements reflect the company's current expectations, and the company does not undertake to update or revise these forward-looking statements, even if experience or future changes make it clear that any projected results expressed or implied in this or other company statements will not be realized. Furthermore, readers are cautioned that these statements involve risks and uncertainties, many of which are beyond the company's control, which could cause actual results to differ materially from the forward-looking statements. These risks and uncertainties include, but are not limited to, the company's dependence upon the electronics industry, contemplated significant capital expenditures and related financing requirements, the company's ability to integrate and manage its Asia Pacific operations, the company's dependence upon a small number of customers, the unpredictability of and potential fluctuation in future revenues and operating results and other "Risk Factors" set forth in the company's most recent SEC filings.
TTM Technologies, Inc. is a major global printed circuit board manufacturer, focusing on quick-turn and technologically advanced PCBs and the backplane and sub-system assembly business. TTM stands for time-to-market, representing how the company's time-critical, one-stop manufacturing services enable customers to shorten the time required to develop new products and bring them to market. Additional information can be found at www.ttmtech.com.
(ticker: TTMI, exchange: NASDAQ)
Chief Financial Officer