(Yicai Global) June 4 -- Shares of Hagong Intelligent Robot surged by the daily trading limit today after the Chinese robot maker said its acquisition of Nimak, a German producer of robotic welding guns, will cost a quarter less than initially agreed.
Hagong Intelligent [SHE:000584] rose 10 percent to CNY7.78 (USD1.13). The stock is still 38 percent down from a 52-week high of CNY12.48 last July.
The Shanghai-based company won the bidding for Nimak last October, but the takeover process has been sluggish because of the complex structure of the target company's worldwide assets. Once the shareholder structures at Nimak's units are adjusted, Hagong Intelligent will proceed with the takeover for EUR62 million (USD69.3 million), plus EUR3 million in interest. The original price was EUR88 million.
Hagong Intelligent will develop a systematic industrial chain incorporating welding equipment for smart robots with a one-stop platform for automation solutions and automated welding production lines following the takeover, it said in October.
Established industry player Nimak provides products for automakers such as Volkswagen, BMW, Mercedes-Benz, Ford Motor, as well as the likes of Airbus, ThyssenKrupp, Johnson & Johnson and Robert Bosch.
Editor: Ben Armour