ICAPE Group (ISIN code: FR001400A3Q3 – Ticker: ALICA), a global technology distributor specializing in printed circuit boards (“PCB”), has made a significant announcement regarding its expansion strategy. The company has successfully acquired PRINCITEC, a prominent high-value supplier of PCBs, solidifying its presence and reach in the German market.
Since its establishment in 2004, PRINCITEC, situated near Düsseldorf, has been a steadfast provider of comprehensive technical, sourcing, and quality services associated with the distribution of printed circuit boards. With a network spanning 11 distributors across Asia and Europe, PRINCITEC possesses the commercial prowess to meet the diverse needs of various industries, often within demanding timeframes, thanks to its extensive product range. The company serves a clientele of 35 active customers, primarily based in Germany, and reported revenues of €6.5 million in 2022, with a gross margin of approximately 25.5%.
With this strategic acquisition, ICAPE Group is poised to unlock significant synergy potential while continuing to diversify its sourcing capabilities. This move enhances ICAPE’s ability to deliver timely and cost-effective solutions worldwide. It also strengthens the company’s foothold in the German market, which is the leading PCB market in Europe.
Yann DUIGOU, CEO of ICAPE Group, expressed his thoughts on the acquisition, saying, “With the acquisition of PRINCITEC, we are advancing our strategy of external growth, focusing on supply chain and commercial synergies, as well as cost optimization. PRINCITEC possesses the essential attributes to generate organic growth within our Group following its integration. Furthermore, its experienced team, robust supplier network, and diverse customer portfolio spanning various industries will enhance our position in Germany, a key global market. We have a robust pipeline of potential acquisitions across geographies and remain in advanced discussions with targets, reaffirming our goal of achieving €30 million in additional revenue this year.”
Bernhard TSCHAMPEL, Managing Director of PRINCITEC, emphasized the alignment of values between the two companies, highlighting their shared commitment to product quality and customer relationships. He explained how the association with ICAPE Group will enable customers to benefit from ICAPE’s purchasing power and an exceptional logistics platform, ultimately enhancing the service quality provided by their teams. TSCHAMPEL also expressed eagerness about collaborating with the Group’s German subsidiary to leverage synergies between the two entities.
Like the recent acquisition of HLT, this transaction has been executed by ICAPE Deutschland GmbH, a subsidiary of ICAPE Group, with full cash financing. The addition of PRINCITEC’s nine team members will further strengthen the local subsidiary’s capabilities and offerings.
The acquisition of PRINCITEC represents a significant step in ICAPE Group’s expansion journey, enhancing its competitive position and reach in the German market, while also advancing its overarching strategic objectives.
