Koch Industries Will Acquire Electronic Components Maker Molex for $7.2 Billion (Bloomberg)
Molex Inc. (MOLX), a maker of electronic components for products such as Apple Inc. (AAPL)â??s iPhone, agreed to be acquired for $7.2 billion by Koch Industries Inc., a holding company controlled by the billionaire Koch brothers. Koch will buy Molexâ??s shares for $38.50 apiece, a 31 percent premium over the publicly traded common stock, according to today’s announcement. The companies expect to complete the transaction by the end of the year. Koch, a closely held company based in Wichita, Kan., owns everything from biofuel and fertilizer makers to commodity-trading services. It is using the acquisition to expand into connector components. The deal won the support of the Krehbiel family, which has controlled Molex since it began life as a manufacturer of moldable plastic in 1938. The deal will turn Molex into a stand-alone division of Koch. Molex will retain its name and its headquarters in Lisle, Ill. Koch reported that it has committed about $50 billion to acquisitions and capital spending since 2003.