Jabil Circuit is now officially a larger company. The firm announced it has closed the acquisition of once privately held Nypro, a custom plastics manufacturer concentrating on the health-care, packaging, and consumer electronics sectors. The operations of Nypro will be folded into Jabil Circuit's health-care and instrumentation business, as will roughly 10,000 of the former company's employees. The Nypro brand name will continue to be used, and the firm's current senior vice president, Courtney Ryan, will manage the business.
The deal was originally announced in early February. The two sides reached agreement for Jabil Circuit to pay $665 million in cash for its new asset. This has been funded from the company's existing cash as well as its credit facilities.
Jabil Circuit said that the acquisition is expected to be accretive to earnings in its fiscal 2014, which begins on September 1 of this year.
The article Jabil Circuit Finalizes Acquisition of Nypro originally appeared on Fool.com.Fool contributor Eric Volkman has no position in Jabil Circuit, and neither does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.