DEUTSCH Announces Sale of its Relays Operations to STPI

NEW YORK, January 16, 2008
Deutsch, a worldwide leading manufacturer of electrical connectors and hermetic relays, for Industry, Mil Aerospace and Transportation, announced today that it has sold its Relays operations to STPI group (Paris, France).

The Deutsch Relays Division created in 1954 is a leading manufacturer in the markets of hermetic relays, sockets and electronic devices for Defense, Commercial aircrafts, Space and Transportation. In 2007, the Relays Division achieved annual sales of $35M.
STPI is a well-established manufacturer of hermetic relays with more than 50 years experience supplying to the European market. Through this acquisition, STPI will become a global leader within the Relays market segment with sales above $60M.
Jean-Marie PAINVIN, Chairman and Chief Executive Officer of DEUTSCH, states, “I am delighted to have found such a suitable purchaser for the Relays Division. Deutsch is now better positioned to focus on its primary target of growing its electrical connector core business to reach $1B in revenue by 2011”.
Michel Nespoulous, Chairman and Chief Executive Officer of STPI, states, “As a result of this acquisition, the combined forces of the two companies will significantly enhance our offer to our customers, completing our existing range of products and ensuring a worldwide commercial presence. It would also allow STPI to grow on the American market where Deutsch Relays (DRI) is a strong player.”
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DEUTSCH, founded in the United States in 1938, is a global company employing approximately 3,500 people worldwide. Its main markets are in the United States and Europe, with two main operating Divisions, Deutsch Industrial (DI) and Deutsch Aerospace & Transportation (DAT). DEUTSCH is a world leader in the field of high performance connectors used in Industrial Vehicles, Mil Aero, Transportation and Oil & Gas, with global sales of more than $600M in 2007. In recent years, Deutsch’s innovation and focus on its clients have led to significant growth.
 

STPI founded in Paris, France in 1955 employs approximately 190 people in France and Mauritius. STPI is a leading manufacturer of hermetically sealed relays used in Aeronautics, Defense, Space and Railway industries. Today STPI is mainly present in Europe and Asia.
 

Deutsch was advised by:
Houlihan Lokey – Exclusive Financial Advisor
Freshfields Bruckhaus Deringer – Legal Advisor

STPI was advised by:
Salans – Legal Advisor
 

ENGINEERED CONNECTING DEVICES