(Yicai Global) Oct. 8 -- Chinese electronic device maker Infinova said it will sell its Canadian video surveillance equipment maker and service business provider for USD141.3 million in order to collect funds and develop in the domestic market, amid changes in the overseas market regulatory environment.

The Shenzhen-based firm’s stock price [SHE:002528] climbed closed up 2.6 percent at CNY3.50 (54 US cents) today, after earlier gaining almost 3 percent.

Infinova’s board of directors has approved the sale of the whole equity of Infinova (Canada) to Taiwan-based Delta Electronics’ wholly-owned unit Delta International Holding, the firm said in an announcement late yesterday.

The only asset Infinova (Canada) owns in the Canadian capital is March Networks, a video surveillance equipment and software developer and service provider. Its main business is to supply government and commercial facilities with video surveillance products.

But due to North America’s market regulatory environment, March Network is facing significant challenges, so that Infinova decided to sell it. The firm decided to put up for sale the Canadian asset last December.

Infinova bought 100 percent stake in Canadian-listed March Networks for CAD90.1 million (USD71.8 million) in April 2012, aiming to speed up the expansion of its video surveillance equipment business in the overseas markets and develop high-end consumer market, including banks.

March Networks’ business is mainly located in North America, and its major clients are Walmart Stores, several US and Canadian banks, and a well-known Swedish automaker, according to Infinova’s acquisition feasibility report. The market share of the firm’s top products ranked high both in North America and worldwide.

Editor: Futura Costaglione