Arrow Electronic Bids For Chip One Stop
MELVILLE, N.Y. (AP) — Arrow Electronics announced a $2,857-per-share bid for Japanese electronic components supplier Chip One Stop on Monday.
Arrow declined to disclose the total value of the deal.
Chip One Stop is based in Yokohama, Japan. Arrow said its sales for the latest fiscal year were about $47 million.
"Chip One Stop represents an exciting opportunity for Arrow to expand its presence in one of the largest electronics markets in the world," said Peter T. Kong, the president, Arrow's global components business, in a statement. He added that the deal expands and strengthens Arrow's e-commerce capabilities.
Shares of Arrow Electronics Inc. fell $1.52, or 5 percent, to $28.79 in afternoon trading Monday amid a broader market tumble, after a Goldman Sachs analyst downgraded the company to "Neutral" from "Buy."
The stock has traded in a 52-week range of $22.56 to $47.50.