China's Haier buying GE appliance unit for $5.4 billion - home appliance manufacturer
BEIJING-Haier Group, the world's largest home appliance maker, is buying GE.
$5 home appliance business
4 billion expansion of its US marketS.
Haier is trying to build itself into a high-end brand as the acquisition was announced last Friday.
GE has shifted its focus from traditional businesses such as home appliances that have been prominent for more than a century to higher areas.
Medical equipment, clean energy and other technical fields.
The two companies also agreed to establish strategic partnerships in areas such as the Internet, healthcare and advanced manufacturing.
The sale was regulated and reversed, they said.
Trust approval of relevant countries.
This is the third purchase of billions of dollars.
Chinese buyers will make dollar overseas acquisitions this week.
Wanda Group said on Tuesday it would buy Hollywood's Legendary Entertainment for $3. 5 billion.
The day before, a state
The state-owned chemical company announced the acquisition of a German manufacturer for $1 billion.
Chinese companies are aggressively buying overseas, seeking technology and brands to boost their competitive position at home and accelerate their global expansion.
Haier, headquartered in the eastern Chinese city of Qingdao, produces a variety of refrigerators, washing machines and other household appliances.
The company reported revenue of $2014. 6 billion.
It operates 21 industrial parks worldwide.
Haier said the acquisition of GE will be carried out by its Qingdao Haier company. Ltd.
Haier owns a 41% stake in the company.
General Electric, based in the city of Wisconsin, Kentucky, reported sales of $5.
2014 income 9 billion.
It has 12,000 employees, 96% of whom are in the United States.
The two companies said GE would move more into the growing Chinese consumer market.
Buy 48 pieces including GE appliances.
Mabe, a Mexican appliance company that owns a 4% stake in the company, has a 28-year joint venture with the company.
"This strategic alliance provides a new starting point for Haier and GE, and I believe this partnership will bring greater value to the stakeholders of the two companies, zhang Ruimin, chairman of Haier Group, said in a statement.
After being assigned by the Qingdao municipal government to run Haier in 1984, Zhang was credited with the building of the bankrupt refrigerator factory.
"Haier has a clear focus on development in the United States. S.
GE Chief Executive Jeff Immelt said in a joint statement: "build their manufacturing business here and invest further in the business . ".
"In addition, we see the opportunity to work together to build a GE brand in China.
GE, headquartered in Fairfield, Connecticut, earlier announced plans to sell its home appliance business to Electrolux in Sweden for $3. 3 billion.
In December, against the US anti-American movement, they canceled the plan.
Trust Regulatory Authority