Benchmark Electronics Inc. (NYSE: BHE) is buying privately-held electronics maker Secure Communication Systems Inc. for about $230 million in cash.
Secure, based in Santa Ana, California, makes electronic communication and network devices, such as tablets, for the aerospace and defense, telecommunications and industrial sectors. “This transaction will allow us to accelerate Secure’s strategic plans, offer additional services to our customers and provide increased opportunities to our employees,” says Secure CEO Allen Ronk. Benchmark produces electronic products for original equipment manufacturers in the aerospace, industrial and technology sectors.
In another electronics deal announced earlier in 2015, Universal Electronics Inc. (Nasdaq: UEIC) is buying Ecolink Intelligent Technology Inc. for $12.4 million. Ecolink makes sensors for wireless security systems. Also, Samsung Electronics Co. is purchasing SmartThings, a startup that makes mobile applications to remotely control devices in houses.
J.P. Morgan Securities LLC (NYSE: JPM) and Sheppard Mullin Richter & Hampton LLP are advising Benchmark. Harris Williams & Co. and O’Melveny & Myers LLP are advising Secure. Benchmark is funding the acquisition through its credit facility.