Transaction overview

Corridor Capital acquired Circuitronics Inc., a provider of specialized printed circuit board (PCB) assembly and electronic manufacturing services (EMS), from LongWater Opportunities on December 31, 2014. The deal was announced on January 13, 2015, though the financial terms were not disclosed. Founded in 1971 and headquartered in Irving, Texas, Circuitronics offers a range of capabilities including rapid prototype development, complex PCB assembly, design services, and end-of-life supply chain solutions.

Deal structure and financing

The acquisition was advised by Craig-Halum Capital Group on the buy-side for Corridor Capital. Specific details about the equity-debt split, leverage metrics, or lock-up terms were not disclosed in publicly available information. LongWater Opportunities did not retain any stake in Circuitronics post-acquisition as it marked the sale of its investment following a strategic plan to improve and grow the business since 2009.

Strategic context

Corridor Capital's acquisition of Circuitronics was driven by its goal to support the company’s growth and expand into EMS services. Under LongWater Opportunities’ ownership, significant investments were made in Circuitronics' operations, resulting in substantial improvements across all aspects of the business. This strategic move aligns with Corridor Capital's focus on acquiring businesses that can benefit from operational enhancements and scaling up their service offerings. The deal also underscores Circuitronics’ strong market position within the EMS sector, which attracted interest from an acquirer seeking to bolster its presence in this domain.

Regulatory path

No specific regulatory hurdles were reported for this transaction. Given the deal’s size and the companies' locations primarily within the United States, it is likely that Corridor Capital engaged with U.S. federal regulators such as the Department of Justice (DOJ) and the Federal Trade Commission (FTC). However, no details regarding any required remedies or regulatory review timelines were publicly disclosed.