What 'Changes' Does Koch Acquisition Mean for Lisle's Molex?

The Daily Herald has obtained a memo submitted by Lisle’s Molex, Inc., the paper reported Tuesday, suggesting that new owners the Koch Brothers may make some important changes in their takeover, and not ruling out layoffs. 

According to the paper, under a heading of “Will any employees be laid off as a result of the transaction," the document reads only: "We do expect that there will be changes under Koch's ownership and leadership. We will ensure that all changes are made in a manner that respects our culture, our employees and everything we have achieved."

However, speaking with an expert, the paper did conclude, “that doesn’t necessarily mean layoffs will happen.”

The cables and connectors company Molex is set to be acquired by the Kansas-based Koch Industries Inc. at a cost of $38.50 per share for 178.2 million shares—a sum total of about $7.2 billion. The deal (which still needs to be approved by shareholders) is the second largest in Koch’s history, falling short of the $13 billion spent to acquire Georgia Pacific Corp. 

About 800 people are employed at Molex’s Lisle campus, with another 200 in facilities in multiple nearby towns, the Herald said.

Read the full story at the Daily Herald website.