Chinese company acquires German Bosch generator business for more than 500 million euros
The German Bosch Group announced on the 2nd that it had signed an agreement on the same day to sell its starter and generator subsidiary to a Chinese consortium consisting of Zhengzhou Coal Mine Machinery Group Co., Ltd. (Zhengmei Coal Machinery) and Chongde Investment. On the same day, Zhengzhou Coal Mining Machinery Co., Ltd. announced on the same day that the M&A price is 545 million euros in cash. Upon completion, it will receive no less than 86.16% of the shares of Bosch's subsidiary (SG).
Headquartered in Stuttgart, Germany, the Bosch Group is one of the country's most famous old-fashioned industrial giants, known for producing auto parts and household appliances. At the same time, Zheng coal machine, which is listed in Hong Kong and Shanghai, is China's leading manufacturer of fully mechanized coal mining equipment. It is committed to producing and selling hydraulic supports and is considered to be the largest manufacturer of hydraulic supports in China. According to the 2011 production, Zhengzhou Coal Engine's hydraulic support accounted for 22.6% of the Chinese market.
The Bosch Group said that after the completion of the merger, Zheng Coal will take over nearly 7,000 employees of its starter and generator subsidiary (SG) and 16 locations in 14 countries. At the same time, the headquarters of the Bosch subsidiary SG in Stuttgart will be retained.
The Bosch Group stated in the statement that after the completion of the merger, Bosch's production and operation research and development in the field of starters and generators will complement the product line of Zhengmei Coal Machine and realize its further internationalization.
Zhengzhou Coal Machinery said in the announcement that the merger will not be completed until the regulatory authorities of China, Germany and the United States have passed the audit. At the Bosch Group level, it is also necessary to meet the conditions of “no employee opposition”.
Rolf Bulander, head of Bosch Automotive and Intelligent Transportation Technology, said on the same day that he is convinced that Bosch starter and generator subsidiaries will have a good chance of achieving good development after being acquired by Chinese companies.