CHASKA, Minn. (AP) -- Entegris Inc., a maker of products used to manufacture microchips, said Monday it will pay $158 million to buy graphite goods producer Poco Graphite Inc. in a deal that will strengthen its position in the chip industry and allow it to grow its business elsewhere.
Privately held Poco makes electrodes and other products used in a range of industries, including semiconductors, electrical discharge machining, medicine, opto-electronics and aerospace. The Decatur, Texas, company generated more than $60 million in sales in 2007. About 40 percent of the total came from the chip customers.
Entegris expects the all-cash deal will add to its earnings as soon as next year. It is expected to close in the third quarter of 2008.
Separately, Entegris forecast second-quarter sales of $148 million in the second quarter, at the midpoint of its earlier guidance of $144 million to $152 million. Analysts surveyed by Thomson Financial expect revenue of $147.5 million.