(Yicai Global) May 16 -- Wanxiang Qianchao Co. [SHE:000559], an auto parts manufacturer in China, plans to purchase 8.45 percent of software solutions developer Ewin Info Technology Co.'s equity for CNY60 million (USD8.7 million).
Wanxiang Qianchao said its investment will help advance smart factory construction. Ewin will provide the Hangzhou-based firm with refined professional services and technical support.
Ewin is an IT company that provides smart factory products. Its clients include complete vehicle manufacturers Mercedes-Benz, Audi AG [FWB:NSU],Volkswagen Group [FWB:VOW] and General Motors Co. [NYSE:GM] as well as auto parts producers Johnson Controls International Inc. [NYSE:JCI], Lear Corp. [NYSE:LEA] and Visteon Corp. [NYSE:VC].
Ewin's total book assets were CNY197 million as of Dec. 31, 2016. Its operating income reached CNY186 million last year and its net profit was CNY32.6 million.
Wanxiang Qianchao said separately that it intends to contribute CNY210 million to increase its shareholding ratio of Jiangsu Sunway Precision Forging Co. from 66.69 percent to 76.76 percent. The capital will allow Jiangsu Sunway to fund to its rapid development and fill orders.