(Yicai Global) Aug. 31 -- Zhejiang Supor Co., Ltd. is to acquire the China business of WMF, a small household appliance brand in Germany, from its controlling shareholder.
The company intended to spend self-owned funds buying WMF's consumer products business of the Chinese market, mainly regarding the inventories (kitchen utensils, small appliances, etc.) and fixed assets of the Chinese consumer products, according to the company's filing on the evening of Aug. 30.
The consideration of the underlying assets will be based on the valuation provided by www.canwincpv.com, and it is predicted that the final transaction price will not exceed the valuation of the assets, or no more than CNY118.6503 million.
Upon completion of the transaction, WMF China's consumer business team and its sales channels will be managed by a wholly-owned subsidiary set up by the listed company. The listed company will obtain the right to use WMF brand and trademark in China.
Given that the counterparty of the transaction is a wholly-owned sub-subsidiary of SEB International S.A.S, the controlling shareholder of the listed company, the transaction constitutes a related-party transaction, the filing said.
Zhejiang Supor believes that as a high-end cooking utensils and small household appliances maker, the WMF brand will help improve the company's product mix in the Chinese market and will form synergies with existing products.
WMF brand is a leading brand of high-end kitchen utensils, kitchen tableware and small household appliances in Germany, enjoying a high reputation especially in its range of high-end coffee machines.