Further strengthening its position in the worldwide circuit protection market, Littelfuse Inc., Des Plaines, Ill., has agreed to acquire an 82 percent stake in Heinrich Industrie AG for approximately $47.2 million in cash.
Littelfuse will purchase the controlling interest in Heinrich Industrie from the company’s two largest shareholders and later this quarter will initiate a tender offer for the remaining shares of the publicly held company. The transaction was expected to take place May 6.
Heinrich Industrie, headquartered in Essen, Germany, has annualized sales of approximately $89.1 million. It is the holding company for the Wickmann Group of circuit protection products, which has three business units: electronic, automotive and electrical. The Wickmann Group’s electrical products are marketed under the EFEN name and include power fuses and fuse switches for electric power distribution equipment and other industrial applications. Annualized sales by unit are approximately $41.6 million for electronic, $17.8 million for automotive and $29.7 million for electrical.
Heinrich Industrie is one of the leading global companies in the fuse industry, with strong market positions in Europe, especially Germany, and a growing presence in Asia. Heinrich’s shares are traded on the Dusseldorf, Frankfurt and Stuttgart Stock Exchanges.
“Heinrich is a good strategic fit with Littelfuse,” said Howard B. Witt, chairman, president and chief executive officer. “The addition of the Wickmann Group product line further strengthens our position as the worldwide leader in circuit protection. With similar products and markets, the combination of our two companies will provide opportunities for future growth.
“Over the years, we have developed a great deal of respect for the products and people of Heinrich. The company is well known around the world for its products, reliability and dedication to new product development. It has excellent customer relationships and strategically located manufacturing facilities. We serve many of the same markets with complementary products and both companies have a commitment to technology, quality and customer service. Together we are a powerful combination that can further enhance the value we bring to our customers,” said Witt.
Heinrich has approximately 900 employees. The company has facilities in Germany, Hungary and China, and sales offices in key regions throughout the world.