Orphaned IBM UK Ltd company Xyratex Ltd has sold its flexible interconnect division to ADFlex Solutions Inc of Chandler, Arizona for $56m in shares debt and cash, in a deal in which Xyratex will end up with a 15% stake in ADFlex, which also makes flexible interconnection equipment. ADFlex will use part of Xyratex’s Havant, Hampshire facility and the two will share a research centre. All employees will stay on. The $56m breaks down into $11m cash, $10m debt and the rest in ADFlex shares. The Xyratex division had turnover of about $72m in 1995 and ADflex’s turnover came to about $100m.
