(Yicai) May 28 — Keboda Technology, a Chinese manufacturer of automotive electronics, plans to acquire Integrated Micro-Electronics Czech Republic to quickly gain a European factory and reduce the impact of international trade uncertainties to better serve overseas clients.
Keboda will invest EUR9.4 million (USD10.7 million) to buy a 100 percent stake in IMI Czech Republic from its Philippine parent company IMI, as part of the latter’s global business restructuring, the Shanghai-based firm announced yesterday.
IMI Czech Republic produces automotive and industrial electronics, with sales of the former accounting for about 85 percent of its revenue. Its clients include well-known automotive parts suppliers, and its products are equipped on cars of large carmakers, such as Renault Group, Audi, BMW Group, Mercedes-Benz Group, and Volkswagen Group.
According to the transfer agreement signed by related parties, IMI will divest all assets and liabilities of IMI Czech Republic that are unrelated to the automobile electronics business, and Keboda’s German subsidiary will take over the properties, production equipment, and the 165 workers of the target company.
The acquisition of IMI Czech Republic will help Keboda obtain production bases close to its key overseas customers, which have been increasingly demanding for supply chain relocation, to greatly enhance its risk resilience and form synergies between its operations and the new assets, Keboda noted.
Based in Pilsen, West Bohemia, IMI Czech Republic owns a factory with a construction area of over 10,000 square meters and cleanliness that meets the processing requirements for automotive electronic products. The firm recorded a net loss of about CNY37.4 million (USD5.2 million) last year, with shareholders’ equity assessed at about EUR9.6 million (USD10.9 million) as of Dec. 31.
Keboda’s main products include control systems for automotive lighting and motors, in-vehicle electronics and electrical systems, and energy management systems. Its main European clients include Mercedes-Benz, BMW, Audi, Volkswagen, Porsche, Bentley Motors, and Renault.
Last year, Keboda’s overseas market sales exceeded CNY1.9 billion (USD260 million), accounting for nearly one-third of its total annual revenue, according to the company’s 2024 financial statement.
Keboda [SHA: 603786] closed down 3.1 percent at CNY53.60 (USD7.45) as of 2.45 p.m. in Shanghai today, after opening up 1.6 percent.
Editor: Futura Costaglione