Why is this small electronics company up 30%?

Shares of Molex are soaring Monday on the news it has been acquired by Koch Industries.

By Motley Fool Investor Beat Sep 9, 2013 1:09PM
Shares of Molex (MOLX) are up over 30% Monday on the news that it is selling itself to private conglomerate Koch Industries. Koch is acquiring Molex for $7.2 billion, a 42% premium to the company's pre-announcement price. 

According to Motley Fool analyst Taylor Muckerman, this is a great buy for Koch industries, as Molex as a lot of potential going forward.

One of Molex's biggest customers is Apple (AAPL), as the small electronics maker supplies components used in the iPhone 5. This has been a profitable relationship for Molex, but now that the company is taking itself off the board, its shareholders won't get to reap the rewards. This is especially disappointing, according to Taylor, because Molex has the potential to partner with other companies that could use its products, including Tesla (TSLA) and John Deere (DE).

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1Comment
Sep 9, 2013 2:31PM
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With the biggest "new" from Apple coming out tomorrow being-- new colors, updated OS software and a cheaper version to insult those who paid through the nose for the current version... you have to try and guess why "Koch" the Kings of Anarchy and anti-Americanism were interested enough to shell out so much cash for it. Bottom right hand drawer secret project? Way to rig the next elections? Way to shut off all the Twitters? Only corrupt minds know.
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