Vishay Intertechnology Secures Strategic Acquisition of Birkelbach Kondensatortechnik

Vishay Intertechnology

MALVERN, PAVishay Intertechnology, Inc. (NYSE: VSH) has announced a significant strategic move with its acquisition of Birkelbach Kondensatortechnik GmbH for approximately €17 million ($18.5 million). Birkelbach, based in Erndtebrueck, Germany, specializes in manufacturing metalized technical films crucial for capacitor dielectrics. This acquisition, which is set to be finalized by the end of the year pending customary closing conditions, is an all-cash transaction.

The acquisition of Birkelbach is pivotal for Vishay as it strengthens the company’s supply chain and enhances its capacity to meet the growing demand for high voltage, high power film capacitors essential for smart grid infrastructure projects. Joel Smejkal, President and CEO, emphasized the strategic significance, stating, “This acquisition secures our metalized film material supply in order to meet the accelerating demand for high voltage high power film capacitors used for smart grid infrastructure projects. Birkelbach has been a key supplier to Vishay for many years and will provide us with the capacity to deliver excellent service and product reliability to our industrial grid customers.”

Vishay plans to integrate Birkelbach into its Capacitor segment, an action that will bolster its production capabilities and ensure consistent supply to its customers. The company also intends to invest in Birkelbach’s metalizing equipment to enhance operational efficiency.

Marc Zandman, Executive Chairman, highlighted the strategic alignment of the acquisition within Vishay’s broader business strategy, stating, “Vishay has a history of making vertical integration acquisitions. In this case, acquiring Birkelbach ensures supply of critical material that is needed to capture an attractive growth opportunity for the company.”

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This acquisition represents a strategic expansion for Vishay, ensuring a stable supply chain and positioning the company to capitalize on future growth opportunities in the high voltage capacitor market.

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