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Two of Orange County's memory upgrade makers are merging with the acquisition by Admor Memory Corp., Irvine, of Allied Micro Corp., Aliso Viejo.
The deal serves to bolster fast-growing Admor, one of the industry's few publicly traded makers of memory upgrades along with Smart Modular Technologies Inc., Fremont.
"The acquisition of Allied will immediately increase sales by 20% per month," said Admor CEO and president Michael Rapp.
For the nine months ending March 31, Admor's sales increased 65% to $21 million, while net income was $104,235, a 413% jump.
Both companies emerged in the wake of a watershed 1995 crash in memory prices that caught some bigger players off guard and created opportunities for smaller companies. The deal adds Allied's 12 people to Admor's current 60 employees.
Privately held Allied Micro was founded in late 1995 by former members of Kelly Micro Systems, one of the county's earliest third-party memory companies that was bought by Santa Ana-based Simple Technology Inc. in 1995. In 1996, Allied did about $9 million in sales with a run rate of $13.6 million for 1997.
The...