SigmaPoint sale completed with German-based CEM
EP&T MagazineElectronics Contract Manufacturing acquisition CEM contract manufacturing EMS Sigmapoint
Cornwall ON-based EMS player specializes in medical, industrial controls, embedded electronics & IoT
German electronics manufacturing services (EMS) provider Katek SE has completed its previously announced acquisition of SigmaPoint Technologies in Cornwall, Ontario. With the acquisition, the global EMS player currently has 20 subsidiaries and now maintains a presence on the North American continent in addition to Europe and Asia.
SigmaPoint targetted annual sales of more than USD $100 million this year, and has benefited from the reshoring trend in North America, which is being driven by the current disruptions to supply chains due to the pandemic and by economic and geopolitical tensions. SigmaPoint currently employs 280 people.
“SigmaPoint is extremely excited and looking forward to adding to KATEK’s global reach in North America. The added capabilities and our lean enterprise culture will be a tremendous advantage to support the reshoring trend,” says Dan Bergeron, CEO of SigmaPoint.
German player enters NA market
SigmaPoint’s largest customer in North America is already one of KATEK’s top five customers in Europe. Among other things, this will lead to significant advantages for both companies on the procurement market. The investment is part of KATEK’s strategy of opening additional markets for HVE (high-value electronics) in addition to its strong presence in Europe.
“As the number three electronics service provider in Europe, we are making good on the promise to our European customers of a presence on the North American continent,” says Rainer Koppitz, CEO of KATEK. “The very good match between corporate culture and values was also decisive. This will make it much easier to leverage the large existing synergies in the areas of sales, supply chain and lean manufacturing.”
Management team remains intact
Sigmapoint CEO Dan Bergeron and the full management team will continue to lead the Canadian CEM business after the acquisition.
“We are looking forward to the partnership with KATEK Group. Our two companies have a lot in common, most notably our work culture, customer-centric values and lean principles,” says Bergeron, adding that he sees the merger as an important milestone for SigmaPoint that few companies ever achieve.
“I am incredibly excited about the potential that will open up for our customers, the team and the local community in the years to come. Our partnership represents an extension and strengthening of our supply chain, design support, rapid prototyping and global distribution services,” Bergeron states.