Viasystems’ sale to TTM clears U.S. regulatory hurdle
TTM Technologies Inc.’s pending $368 million acquisition of Viasystems Group Inc. has gotten the go-ahead from the federal Committee on Foreign Investment in the United States (CFIUS).
The companies said Tuesday that after completing a review, CFIUS determined there were no unresolved national security concerns in relation to the TTM’s proposal to acquire the St. Louis-based manufacturer of printed circuit boards and other electronic equipment components. CFIUS is a federal inter-agency committee chaired by the secretary of the U.S. Treasury.
The deal, first announced in September, still needs to clear regulatory hurdles with the U.S. Federal Trade Commission. TTM (Nasdaq: TTMI) officials said the acquisition is still expected to close some time this quarter. Viasystems will continue as a wholly owned subsidiary of TTM after the deal closes.
Viasystems shareholders in December approved the company’s sale to California-based TTM Technologies. With the assumption of debt, the deal is valued at about $927 million.
“We are looking forward to combining TTM’s advanced technologies with Viasystems’ market access to improve our positioning in this growth market,” TTM CEO Tom Edman said during an earnings call April 29. “In addition, Viasystems will bring complementary businesses to TTM in the medical industrial instrumentation, networking communications and aerospace and defense end markets.”
Viasystems Group (Nasdaq: VIAS), led by CEO David Sindelar, reported a net loss of $15.2 million on sales of $1.2 billion in 2014.