Cohu Inc. announced plans to acquire Japan-based Kita Manufacturing Co. Ltd., a maker of metal probes used in electronics testing.
Poway-based Cohu (Nasdaq: COHU) specializes in test equipment used in electronics manufacturing.
Cohu said on Nov. 16 that it will pay $15 million in cash, assume $2.6 million in debt, and assume another $4.8 million of debt associated with manufacturing capacity expansion in Osaka, Japan. The latter, Cohu said, is aligned with the buying company’s growth strategy.
In addition, the sellers have the opportunity to earn up to $3 million by meeting growth targets.
The deal is expected to close in the first quarter of 2017.
Kita also has an office in Attleboro, Mass.
