Zhejiang Sanhua Co. Ltd and AWECO Appliance Systems GmbH & Co. KG have announced an agreement to acquire the business of AWECO Appliance Systems GmbH & Co. KG.
Sanhua will acquire the assets and the customer base of AWECO including all patents, trademarks, production know how as well as the shares of AWECOS’s operational entities in Germany, Poland, Austria, Slovakia and China.
The employees of the AWECO Group will become part of the Sanhua team and will continue to design and produce innovative products and systems for the home appliance industry.
The acquisition of the assets of AWECO Appliance Systems GmbH & Co. KG is a major benefit for both, customers, suppliers and employees of AWECO Group and Sanhua Group.
AWECO will remain its operational independency within the Sanhua Group with its own management team.
Through the acquisition of AWECO by Sanhua, AWECO will be provided with new funds for its product innovation and the finalization of its restructuring efforts. In addition, the transaction will enable Sanhua to broaden its customer base outside China as one of the leading manufacturer of appliance systems in China.
“With this acquisition we continue to move closer to our corporate mission in becoming a more diversified and global supplier to the home appliance industry. The customer is the big winner in all of this because the combination of our two organizations will continue to offer AWECO’s excellent technology and quality supported by Sanhua’s high productivity and financial strength. This is a unique value proposition to the market,” Gerhard Teschl, Vice President of Zhejiang Sanhua Ltd.
Closing of the transaction is expected in January 2013after merger control clearance in Poland and Turkey and Chinese SAFE as well as other customary closing conditions have been fulfilled.