HMS Networks has agreed to acquire the Industrial Communications segment of Molex’s Industrial Solutions Business Unit, in a deal aimed at expanding the Swedish group’s intellectual property base and strengthening its presence in North America.
The transaction, announced after a period of negotiations, will see HMS take ownership of a portfolio of hardware and software IP, network interface cards, and software stacks, as well as customer relationships primarily in the USA and Japan. Engineering teams in Waterloo, Canada, and Le Thuit Anger, France, will also transfer, alongside the French entity Woodhead Software & Electronics S.A.S.U.
Bartek Candell, Senior Vice President of HMS Networks, said the two companies had identified strong strategic alignment between Molex’s industrial communications operation and HMS’s INT division. He added that Molex’s network interface cards and controller products would complement HMS’s existing offer, creating cross-selling opportunities. “This is a perfect addition to the HMS portfolio, and a win-win deal for both parties,” he said.
Molex, which employs more than 50,000 people across over 38 countries, said the divestment would allow it to focus on core activities. Dave Atkinson, Vice President and General Manager of Molex Industrial Solutions, said the company was “delighted” to transition the business to HMS. “We are confident that our talented team members will bring highly complementary engineering expertise, and innovation capabilities, to support our collective customers,” he said.
For HMS, the acquisition is designed to secure strategic know-how and enhance its software and hardware offering with complementary IP blocks. The deal also broadens the company’s customer base in North America, a priority region in the INT division’s 2030 strategy.
HMS Networks, listed on Nasdaq OMX Stockholm, employs more than 1,200 staff and reported sales of SEK 3,025 million in 2023. Its portfolio includes the Anybus, Ixxat, Ewon, and Intesis brands, with Red Lion Controls joining the group in April 2024.
