Israeli PCB Technologies Acquires US Firm Gorilla Circuits for $120 Million

PCB Technologies has signed an agreement to acquire 100% of the shares of U.S.-based Gorilla Circuits, a manufacturer of printed circuit boards and electronic component assembler located in San Jose, Silicon Valley. The deal values Gorilla Circuits at $120 million, subject to adjustments. This valuation reflects a 7.6x EBITDA multiple based on projected results for 2025 and the first half of 2026. The acquisition will be financed through credit from two Israeli banks. The purchase price is nearly half of PCB Technologies' current market value, which stands at approximately NIS 1 billion.

This move fulfills a strategic objective announced by PCB Technologies in March, when it revealed plans to explore acquisitions in the U.S. and Europe, including a potential purchase of an American company in the circuit and enclosure sector for tens of millions of dollars. The current deal significantly exceeds that initial estimate.

Gorilla Circuits, operating for over 20 years, employs more than 320 people and serves over 700 active clients. The company specializes in small-batch production, development-stage products, and rapid delivery. Approximately 40% of its sales come from the defense and aviation sectors, with about 200 clients, and another 35% from semiconductors and high-tech, serving around 135 clients. The remaining sales are distributed across medical, energy, robotics, and industrial automation. No single client accounts for more than 10% of revenue, and the top ten clients represent about 30% of sales.

In 2025, Gorilla Circuits' revenues grew by approximately 32.5% to about $91.9 million, compared to $69.4 million in 2024. For the first half of 2026, revenues reached about $54.9 million, projecting an annual rate of $110 million. EBITDA for 2025 was approximately $12.1 million, with a projected annual rate of $17.9 million for the first half of 2026. These figures include management adjustments and are unaudited for the first half of 2026.

Udi Shpir, CEO of PCB Technologies, stated that the acquisition aims to significantly scale the company and expand its opportunities by integrating its Israeli-developed technologies with an American manufacturing base and hundreds of clients in strategically advantageous sectors. The local presence is expected to unlock previously limited opportunities and allow for a broader solution offering to Gorilla's customers. The President of Gorilla Circuits, President of Gorilla Circuits, noted that post-acquisition, the companies plan joint investments in expanding U.S. manufacturing capacity and advancing technologies in heat dissipation, RF, and miniaturization.

The transaction is subject to customary closing conditions, including approval from the Committee on Foreign Investment in the United States (CFIUS), and is expected to be completed within eight months. The acquisition follows a relatively weaker second quarter for PCB Technologies, which saw revenue growth of about 5% but a decline in gross profit margin due to the strengthening shekel. Establishing a U.S. manufacturing presence could mitigate some of this currency exposure, though the bank credit financing will add significant debt.