PA Firm Buys Minnetonka-Based HiRel Systems
Malver, Pennsylvania-based electronics giant Vishay Intertechnology, Inc., has acquired HiRel Systems, LLC, a Minnetonka-based manufacturer of power supply products.
HiRel Systems was previously owned by CHB Capital Partners, a Denver-based private equity firm. CHB announced the acquisition Monday, saying that it sold HiRel for $85 million.
CHB, which bought HiRel in 2002, said that over the past nine years, HiRel has grown both its revenue and EBITDA by more than 350 percent.
According to HiRel Systems President and CEO Paul Larkin, since 2002, HiRel has made three acquisitions, added plants in China and the Dominican Republic, and made investments in lean manufacturing, information technology, and design engineering capabilities. The company serves the medical, military, aerospace, and specialty industrial and commercial markets, among others.
Vishay, meanwhile, bills itself as one of the world's largest manufacturers of discrete semiconductors and passive electronic components, such as resistors, inductors, and capacitors. The company trades on the New York Stock Exchange under the ticker VSH.
In January, Vishay announced its intent to acquire HiRel. The company said at the time that the acquisition would substantially expand and strengthen its specialty magnetic product business, which makes transformers and other power supply products.
Tuesday morning calls to inquire about whether HiRel will continue to operate under the same name and whether the acquisition led to any layoffs were not immediately returned.
In addition to its Minnetonka headquarters and its plants in China and the Dominican Republic, HiRel Systems has operations in Hong Kong and in seven U.S. cities, including Duluth and Marshall.