Cirtek eyes acquisitions abroad

Manila, Philippines -  Laguna-based chip maker Cirtek Holdings Philippines Corp. is expanding horizons with plans to acquire two outsourced semiconductor assembly and test companies in Malaysia and Thailand.

Cirtek chief financial officer Anthony Buyawe said the company is currently conducting due diligence on the two firms.

Antonio Callueng, senior director for sales at Cirtek, said the proposed acquisitions were endorsed by the company’s major accounts and in line with its aim to further boost revenues.

Cirtek is eyeing $4.2 million (P180.6 million) in additional annual revenues from new orders.

Of the projected additional revenues, $2.2 million will come from new customers, mostly engaged in the telecommunications sector. Among the new clients include Anadigics and RFMD.

The balance of $2 million will come from existing Cirtek customers Semtech, Maxim, Exar, EM and Cambridge.

With the new orders, Cirtek should be operating at capacity and fully utilizing its plant located at the Laguna Technopark until the end of the year.

Buyawe said the additional orders will improve the company’s revenues this year versus its projections.

The company earlier approved the declaration of cash dividends, amounting to around P34 million, and 20 percent in stock dividend.