china's midea makes takeover offer for german robotics firm - chinese appliance manufacturers

China's home appliance giant Midea on Wednesday launched an offer to Kuka, a German industrial robot supplier, and sought at least 30% of the shares. Midea --
Known for washing machines and air conditioners-
€ 115 ($130)
Kuka, one of the world's leading manufacturers of industrial robots, shares per share in a voluntary takeover offer.
The valuation of the card is 4.
6 billion euros ($5. 2 billion)
A 30% stake will make Midea its biggest shareholder, Bloomberg News reported.
China is pushing for cash
As domestic growth slows, companies invest in foreign targets to improve their balance sheets and strengthen operations.
In recent years, more and more German companies such as Kion, Putzmeister, KraussMaffei have ownership in China.
According to the statement, Midea's offer represents a premium of nearly 60% of the closing price of Kuka on February 3, just the day before Midea announced an increase in its stake in German companies.
It also has a 36% premium over Tuesday's closing price.
In midday trading in Frankfurt on Wednesday, Kuka shares rose 30% to 110 euros.
Shares in the United States suspended trading on Wednesday but closed down.
21 points 06%35 yuan ($3. 27)on Tuesday.
Midea said it did not intend to eventually "rule" the German company, but, according to the regulations, it is obliged to offer all shareholders if it is to increase its shares further.
"We believe that more shares have struck a proper balance between independent Kuka, while also enabling the two companies to drive further growth through cooperation, especially in China, fang Meimei's chairman and chief executive said in a statement. -
"Partner of choice "-
Analysts say the investment could let us know about technology.
How to have growth potential in China while expanding the customers of Kuka in the world factory.
Huang Fusheng, an analyst at China Securities, told AFP: "As a traditional producer of durable consumer goods, the domestic market of the United States is almost saturated . ".
The company "needs to expand the industry and transform, so this (investment)
"This is necessary," he added . ".
Midea is the leading manufacturer of household appliances in China and the largest producer of heating, ventilation and air in China.
Air conditioning system.
According to its website, its global turnover exceeded $22 billion last year.
"Midea regards Kuka as the preferred partner to further enhance automation products and services, while Midea is the ideal partner for Kuka to develop, manufacture and sell Kuka robot products, said Gu Andy, vice president of Midea in a statement.
Kuka, based in Augsburg, Germany, says it is one of the world's leading manufacturers of industrial robots, but also provides automation systems for manufacturing.
Chinese companies are flocking overseas for deals. State-
China Chemical Corporation(ChemChina)
In February, Syngenta, the Swiss pesticide and seed giant, offered $43 billion.
If Chinese companies complete overseas acquisitions.
Last month, China Airlines and travel group HNA announced it would acquire the U-
Carlson, owner of the Radisson brand, wants to establish its position in the US market.
The "Made in Germany" label seems particularly attractive to Chinese companies.
Midea's stake in Kuka is one of the more and more acquisitions in Germany in recent years, the family-
Small run-
Scale of Enterprise (SMEs)
Favorite goal
Families who often run such businesses sometimes find it difficult to find the right successor to take over their company, opening the door for outside investors.
Nevertheless, Hong Kong-
Basic Investment Fund-
Capital rejected the claim that German industry is facing a "tsunami" in China, because Germany accounts for only about 3% of China's direct investment.