MSL Acquires 509,000 SF of Industrial Space in Bankruptcy Sale

CONCORD, MA-Electronics firm Manufacturers’ Services Ltd. has acquired competitor MCMS Inc. for $43 million. The bankrupt seller has facilities in the US, Europe, Mexico and Asia.

Included in the acquisition are MCMS’ 16,000-sf San Jose, CA headquarters, which is in the planning stages of a 35,000-sf expansion (MSL officials would not comment on whether those plans would proceed) and a 216,000-sf industrial facility in Nampa, ID. Overseas assets included in the agreement include 110,000 sf of manufacturing space in Durham, NC; an 112,000-sf plant in Monterrey, Mexico; a 120,000-sf industrial facility in Penang, Malaysia and a recently opened 20,000-sf plant in Xiamen, China. A 91,500-sf manufacturing space in Colfontaine, Belgium is not part of the sale and will operate as a separate entity.

According to MSL spokesman Stephen Schultz, the acquisition dovetails with the firm’s long-stated goal of acquiring a low-cost North American facility. “Back in January we were saying that we’re interested in acquiring an operation in Mexico. We need to have a low-cost North American operation and we’ve been doing a fair amount of work to find the right opportunity.”