Jabil Circuit, Inc. (NYSE: JBL) announced today it has completed its acquisition of Telmar Network Technology, Inc., a global provider of complex reverse logistics, repair services, technical support, and spare parts management solutions for communication network service providers, enterprise and original equipment manufacturers worldwide. The definitive agreement was announced on August 25, 2011.
The combination of Telmar and Jabil will create an end-to-end, multi-vendor aftermarket services platform that connects the endpoints of networks for OEMs and network operators around the world. Together the two companies will provide turnkey network maintenance solutions for the entire communications network for consumer products such as cell phones and set top boxes, enterprise products including laptops, VoIP and wireless phones, and wireless and wireline infrastructures.
“I believe this union of Telmar and Jabil will result in a broader, end-to-end network maintenance services portfolio that will expand critical services and increase operational efficiency for our customers,” said Steven Pickett, CEO and President of Telmar Network Technology. “Our combined capabilities are coming together at a time that we believe is pivotal as our customers and the telecommunications industry as a whole appear to be looking to outsource the maintenance of networks and network elements that are deployed around the world.”
“We believe this transaction with Telmar boosts Jabil’s capabilities, strengthens the depth and scope of our current aftermarket services business and allows us to provide an industry-leading services platform for current and future customers,” said Hartmut Liebel, Executive Vice President and CEO of Jabil Aftermarket Services.
Jabil is an electronic product solutions company providing comprehensive electronics design, manufacturing and product management services to global electronics and technology companies. Offering complete product supply chain management from facilities in 25 countries, Jabil provides comprehensive, individualized-focused solutions to customers in a broad range of industries.
Jabil common stock is traded on the New York Stock Exchange under the symbol, “JBL”. Further information is available on Jabil’s website: jabil.com.
This news release contains forward-looking statements, including the creation by the combination of Telmar and Jabil of an aftermarket services platform that will connect the endpoints of networks for OEMs and network operators around the world, the types of network maintenance solutions that the companies will provide together, the combination of Telmar and Jabil resulting in a broader, end-to-end network services portfolio that will expand critical services and increase operational efficiency for our customers, our belief that this is a pivotal time as our customers and the telecommunications industry as a whole appear to be looking to outsource the maintenance of networks and network elements that are deployed around the world, this transaction's effect on our capabilities and the depth and scope of our aftermarket services business and the ability of our aftermarket services business following this transaction to provide an industry leading services platform for current and future customers. These statements are based on current expectations, forecasts and assumptions involving risks and uncertainties that could cause actual outcomes and results to differ materially. These risks and uncertainties include, but are not limited to: our ability to successfully integrate the operations acquired from Telmar and to retain its customers; the post-acquisition performance of the operations acquired from Telmar combined with our aftermarket services business; changes to our business strategy; business and competitive factors affecting our customers and the telecommunications industry as a whole; fluctuations in operating results and generation of cash flow; adverse changes in current or future macro-economic conditions, both in the U.S. and internationally; our financial performance during and after the current economic conditions; our ability to maintain and improve costs, quality and delivery for our customers; risks and costs inherent in litigation; whether our realignment of our capacity will adversely affect our cost structure, ability to service customers and labor relations; our ability to take advantage of perceived benefits of offering customers vertically integrated services; changes in technology; competition; anticipated growth for us and our industry that may not occur; managing rapid growth; managing any rapid declines in customer demand that may occur; our ability to successfully consummate acquisitions and divestitures; managing the integration of businesses we acquire; risks associated with international sales and operations; retaining key personnel; our dependence on a limited number of large customers; business and competitive factors generally affecting the electronic manufacturing services industry, our customers and our business; other factors that we may not have currently identified or quantified; and other risks, relevant factors and uncertainties identified in our Annual Report on Form 10-K for the fiscal year ended August 31, 2011, subsequent Reports on Form 10-Q and Form 8-K and our other securities filings. Jabil disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.