Wifi Revolution

Arrow Electronics (News - Alert), a provider of products, services and solutions to industrial and commercial users of electronic components and enterprise computing solutions, has asserted that they are going to buy the RF, Wireless & Power Division of Richardson Electronics (News - Alert) ("Richardson RFPD"). For this purpose the company has signed a definitive agreement pursuant.

Richardson Electronics is a provider of engineered solutions and a global distributor of electronic components to the RF and wireless communications market and the industrial power conversion market. RFPD designs, manufactures and distributes discrete devices, components, and assemblies used in RF and wireless infrastructure communications networks, digital broadcasting, defense applications and power conversion. 

RFPD has a line card of more than 80 RF and wireless component manufacturers that includes RF power transistors, passive and connector products, low-power components, amplifiers, digital broadcast components. Richardson RFPD offers its customers an array of value-added services and engineered solutions to meet their needs. 

CEO of Arrow Electronics, Michael J. Long has stated that this acquisition brings Arrow a global presence in the wireless and power conversion markets with specialized expertise in RF engineering and a highly talented team of sales professionals. With the addition of this acquisition, they will increase their footprint in the Asia-Pacific market where growth has been very robust. 

Arrow has opinioned that Richardson RFPD is one of the few companies in the industry with the ability to design, assemble, manufacture, and test an entire system. This acquisition is aligned with the company’s strategy to diversify into markets that offer superior growth characteristics and increase the portfolio of value-added services.

Arrow intends to operate RFPD, which will be called “Richardson RFPD,” as a separate business unit of Arrow Electronics. Richardson RFPD headquarters will remain in LaFox, Illinois. Richardson RFPD has approximately 400 employees and total sales were in excess of $356 million for the fiscal year ended May 29, 2010. The transaction is subject to the approval of shareholders of Richardson Electronics as well as customary closing conditions and regulatory approvals. The companies expect the transaction to close in early 2011.