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ST. PETERSBURG — Jabil Circuit Inc. announced it will acquire Nypro Inc., maker of precision plastic products for the health care, packaging and consumer electronics industries, for $665 million in cash.
The acquisition will help St. Pete-based Jabil (symbol: JBL, recent price: $19.42) expand its manufacturing capabilities into the health care and consumer packaging markets, as well as “add depth” to its consumer electronics business, Timothy L. Main, Jabil chairman and CEO, says in a statement. Jabil specializes in electronics manufacturing.
“The combination with Nypro would also open an exciting new market in packaging for customers in the food and beverage, household and personal care industries,” Jabil President Bill Peters says in the statement.
Clinton, Mass.-based Nypro has more than $1 billion in annual revenues and 12,000 employees with operations in 10 countries. Founded in 1955, the privately held company is employee-owned. Chairman Gordon Lankton sold most of his stock to an employee stock ownership plan (ESOP) in 1998, the statement says.
The deal is subject to a shareholder vote by Nypro's ESOP and shareholders. In its statement, Jabil says the deal would be neutral or slightly add to its earnings per share in fiscal 2013.
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