Rofin-Sinar Technologies will acquire 80 per cent of the share capital of China-based Nanjing Eastern Laser Company (NELC) in two separate transactions.
In one transaction, which was processed through a Chinese equity transfer centre's formal bidding process, the company will acquire 35.2 per cent of NELC’s share capital from Nanjing Sanle Group Co. Ltd. Rofin-Sinar was the only bidder when the bidding period ended on 3 September 2008.
In a second transaction, Rofin-Sinar acquired an additional 44.8 per cent of the share capital of NELC from SIDA Corporation (USA). Both transactions will be funded with Rofin-Sinar’s existing cash position and are expected to close within four to six weeks. Further terms of the acquisition have not been disclosed.
Jointly established by Nanjing Sanle Group Co. Ltd. (China) and SIDA Corporation in 1993, NELC has over two decades experience in the Chinese laser market. The company has maintained a close cooperation with Rofin-Sinar since 1993 and has been authorised to manufacture SM COB2 Blasers using ROFIN’s technological knowledge since 2004.
The company’s product lines are largely comprised of high power, fast-axial flow CO2 lasers, with a power range of up to 3kW as well as NC-based laser processing equipment. NELC has approximately 70 employees and is ISO 9001-2000 certified. NELC will continue to operate as a standalone company and market its products through its own sales network to its primarily Chinese customer base.