Flextronics Buy Of JIT Improves China Presence

Singapore-based Flextronics International Ltd. has signed a definitive agreement to acquire Singapore's JIT Holdings Ltd. for $640 million of Flextronics stock. Flextronics is a leading global provider of electronics manufacturing and design services. JIT Holdings is a worldwide electronics manufacturing service provider (EMS) with manufacturing operations in Singapore, Malaysia, China, Hungary, and Indonesia. JIT has approximately 4,500 employees, more than 1 million sq ft of manufacturing capacity, and reported approximately US$562 million in sales for its fiscal year ended Mar. 31, 2000. This transaction will provide Flextronics with advanced electronics manufacturing operations in Northern China through JIT's new operations in Tianjin and Shanghai, as well as adding much needed capacity in Malaysia, according to Flextronics. For JIT, this merger enables its stockholders to participate in the rapid growth that top-tier EMS providers are experiencing. In addition, JIT's strong management team is expected to make a significant contribution in helping Flextronics grow its business throughout Asia.