Acquisition

TT electronics PLC 10 March 2005 TT electronics plc Important expansion into China TT electronics plc, a world leader in resistor and sensor technology, announces that it has expanded its activities in China through the acquisition of Dage Limited ('DBS'), an operating division of Dage Holdings Limited and the holding company of Dage Backplane Systems Limited, an electronic manufacturing services business with facilities in Suzhou, near Shanghai. TT electronics has acquired the entire issued share capital of DBS for a cash consideration of £8.0 million, subject to completion accounts, for net assets of £4.9 million as at 30 April 2004. In the year ended 30 April 2004, on a turnover of £19.3m, DBS's profits before tax were £1.2 million. DBS has been acquired debt free and the acquisition will be earnings enhancing in the current year. DBS is a well established contract electronics manufacturer serving a blue chip client base. The company has manufacturing facilities in Aylesbury in the UK and in Suzhou, China. The acquisition of DBS expands our existing electronic manufacturing services business and provides us with the facilities in China to meet the requirements of our major OEM customers, particularly within the automotive industry. Furthe rmore, as part of the TT electronics group, DBS's business will benefit from enhanced access to the European and North American markets. Commenting on the acquisition, Executive Chairman of TT electronics, John Newman said, 'We are delighted to welcome DBS into the group. While we have been manufacturing in China through subcontracting arrangements, acquiring our own manufacturing facility represents a significant opportunity for TT electronics to expand its electronic components business in this increasingly important market.' For further information please contact: TT electronics plc John Newman, Executive Chairman: Tel: 01932 856 647 Biddicks Zoe Biddick: Tel: 020 7448 1000 This information is provided by RNS The company news service from the London Stock Exchange
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