(Yicai Global) Dec. 13 -- Shares of Universal Scientific Industrial jumped by the exchange-imposed daily trading limit after the Chinese make of electronic components set out plans to acquire Europe's second-largest electronic manufacturing services provider Asteelflash Group for USD450 million to further its global expansion.

Universal Scientific's stock price [SHA:601231] surged 10 percent today in Shanghai, hitting a 52-week high, to end the week at CNY18.25 (USD2.61).

The deal, which is pending approval from Chinese regulators, will allow the firm to greatly enlarge its EMS customer base and boost its competitiveness in Europe, North America and other regions, Shanghai-based USI said yesterday. It will also help to establish its presence in Europe and complete its global positioning of production bases.

USI will pay 89.6 percent in cash and the rest through the issue of new shares to the founder of Asteelflash's privately owned company ASDI Assistance Direction, according to the agreement penned with the Neuilly-Plaisance-based firm's shareholders. ASDI will hold a 1.22 percent stake in USI once the deal is closed.

Asteelflash is a provider of high-end engineering and manufacturing solutions. It has 17 production bases in eight countries across four continents and employs over 6,000 people. Its management team will remain unchanged.

USI designs and makes high-end electronic products in the fields of information, communication, consumer and automotive electronics. It has 10 plants in mainland China, Taiwan, Mexico and Poland and around 18,000 employees worldwide. Last year, the firm had operating revenue of about USD5 billion.