Niwot, Colo.--June 24--The Dii Group, Inc.(Niwot), announced that its wholly owned printed circuit board fabrication subsidiary, Multilayer Technology, Inc. (Multek), has signed a memorandum of understanding to purchase Hewlett-Packard Company's (HP) Printed Circuit Organization (PRCO) in Boeblingen, Germany. PRCO manufactures high-performance printed circuit boards (PCBs) for Hewlett-Packard divisions and outside customers. Following completion of final negotiations, the transaction is expected to include a three-year supply agreement for Multek to provide boards to HP for use in its servers, workstations, test and instrumentation, and medical products. Terms of the proposed sale are not being disclosed at this time.
Multek is buying assets, including property, plant and equipment, and certain intellectual property rights. The operations will remain in Boeblingen. The property is approximately 44,000 square meters and the building comprises approximately 30,000 square meters. As part of the agreement, Multek will provide all current PRCO employees with job offers. The site and current management team will lead Multek's quest for the European advanced technology printed circuits market. Consummation of the transaction is subject to negotiation and execution of definitive purchase and supply agreements.
The Dii Group, Inc.
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