Irvine’s Diceon Scuttles Continental Circuits Purchase

Diceon Electronics, a Irvine manufacturer of computer circuit boards, has scrapped its plans to acquire Continental Circuits of Phoenix for $49 million.

In a terse statement released late Monday, the company offered no explanation for why the deal was dropped. Diceon officials could not immediately be reached for comment.

Three weeks ago, Diceon announced plans to acquire the Phoenix-based circuit board maker in a a stock-swap transaction. At the time, a Diceon official said Continental’s products would complement its own and called the deal “a very good strategic alliance.”

The acquisition required the approval of both companies’ directors. It could not be determined whether the directors of either company have voted on the plan.

Diceon, a publicly held firm, reported earnings of $8.1 million on revenue of $107.1 million for the 9 months ended July 2. Continental earned $7.6 million on revenue of $66 million for its fiscal year ended July 31.

Diceon’s stock, traded over-the-counter, closed Monday at $13.25 per share, down 50 cents. The announcement about the Continental deal was made after the stock market’s close.