Churchill Equity has sold its portfolio company Cal Quality Electronics, a provider of electronic manufacturing services, to publicly traded PARPRO Corporation. Churchill Equity acquired Cal Quality Electronics in 2001 from Unique Partners.
Cal Quality Electronics (CQE) provides electronic manufacturing services (EMS) including custom printed circuit board assembly, surface-mount technology assembly, through-hole assembly, cable and wire harness assembly, electro-mechanical assembly and full system builds. The company serves OEMs in the medical, industrial, communications, and aerospace and defense markets. CQE is led by CEO Sunil Kumar. The company was founded in 1981 and is headquartered in Santa Ana, CA (www.calquality.com).
Founded in 2001, PARPRO (TW:4916), formerly known as Pilot Electronics Corporation, specializes in turnkey design and manufacture of high-volume printed circuit boards and electronic management services for original equipment manufacturers. The company is headquartered in Taiwan (www.parpro.com).
The purchase of CQE is the third acquisition for PARPRO in a similar market sector within the past three years. “The CQE business is an excellent strategic fit,” said Thomas Sparrvik, PARPRO CEO. “CQE is a solid business with a history of good performance and strong client relationships, and this acquisition provides PARPRO’s entrance into new vertical markets as well as further enhancing our depth and breadth of capabilities within the electronic and electromechanical value chain.”
Investment bank Lincoln International (www.lincolninternational.com) acted as the exclusive financial advisor to Churchill and CQE. “Lincoln’s expertise in the EMS industry coupled with global transaction experience and sound advice yielded a great outcome for all,” said Gary Gottschalk, a Partner at Churchill Equity. “Churchill and the stakeholders of Cal Quality benefitted greatly from their experience, efforts and knowledge.”
© 2016 Private Equity Professional • Private Equity’s Leading News Magazine • 4-8-16