(Yicai Global) Dec. 1 -- Intelligent electric equipment manufacturer Jilin Jinguan Electric Co. [SZ:300510] is about to break into the new-energy vehicle charging facility manufacturing and charging network operations market through the acquisition of a NEV charging device producer.
Jinguan Electric is headquartered in northeast China and is listed on the Chinese Growth Enterprise Market, Shenzhen's Nasdaq-like stock market. Jinguan will acquire 100 percent of the stake in Nanjing Nengrui Automation Equipment Co. by offering shares and cash payments to all existing shareholders.
The total price of the deal is CNY1.504 billion (USD218 million). the company said on Tuesday.
The target company, Nanjing Nengrui Automation Equipment Co., is among the first Chinese companies to provide NEV charging system and equipment manufacturing services, said the announcement.
Upon completion of business restructuring, the listed company will expand their existing high-voltage electrical equipment product lines to include low-voltage electrical equipment manufacturing for generated power buyers.
It will also enhance the company's competitiveness as a bidder for State Grid projects and increase its development potential in the smart grid equipment market.