(Yicai) Jan. 15 -- Chinese industrial X-ray inspection equipment and emission source supplier Unicomp Technology plans to buy a minority stake in its US counterpart, Creative Electron, and set up a joint venture for sales with the US firm in a deal worth USD3.4 million to expand its footprint across North and South America, including the US.

Unicomp will buy USD2 million worth of Creative Electron’s newly issued shares to acquire a 10 percent stake in the San Diego-based company, the firm said yesterday. On top of this, it will invest USD1.4 million to form a JV sales company with Creative Electron, in which it will hold a 49 percent stake.

Unicomp and Creative Electron will transfer their sales operations in North and South America to the JV, Wuxi-based Unicomp said, citing the deal signed by the two parties. The JV will exclusively market products from both companies under the "Creative" brand within the Americas.

Creative Electron will supply the marketing team while Unicomp will provide the engineering team, said Unicomp. Unicomp has also pledged to offer strategic, financial, and human resource services to support the future operations of the JV, it added.

Unicomp serves clients in fields ranging from integrated circuits and electronics manufacturing to materials testing and electric car batteries. Its overseas sales revenue reached CNY49.2 million (USD6.7 million) in 2023, accounting for 8.4 percent of total revenue, according to its 2023 financial report.

Unicomp’s share price [SHA:688531] closed up 1.1 percent today at CNY49.34 (USD6.73). Earlier in the day it climbed 1. 5 percent to CNY49.58.

Editor: Kim Taylor