As winter receded and spring arrived, the Group received delightful news at the very beginning of the Year of the Ox: it has reached an agreement with Dongguan Yagao Silicone Products Co Ltd (hereinafter referred to as "Dongguan Yagao") to acquire all of its assets, including its design and production technology, intellectual property, technical team, production facilities and customer resources, so as to expand the Group's technology and production capacity in silicone mold and product solutions, further broaden its product portfolio and markets, and consolidate its position as a world-leading one-stop integrated injection molding solution supplier. The agreement will take effect on April 1, 2021.
"Dongguan Yagao" is a company focused on the precision LSR (liquid silicone rubber) injection molding business, specializing in liquid silicone rubber product R&D, mold design and manufacturing, silicone product production and assembly, providing customers with comprehensive liquid silicone rubber mold and product solutions. Silicone products are widely used in fields such as optics, medical, baby products, automotive, consumer electronics and household products. "Dongguan Yagao" possesses capabilities in silicone product design, mold development and mass production, with advanced technology and a stable customer base, and enjoys a good reputation in the industry.
The Group will establish a subsidiary "Samudy Yagao (Dongguan) Co Ltd" (provisional name, referred to as "Samudy Yagao") as the acquirer responsible for LSR business operations. In terms of operational management, "Samudy Yagao" will become a new business unit (BU) under the injection molding plant (TKP) and assume the main role of the agile organization's LSR business front office.
"Samudy Yagao" will employ the original management of Dongguan Yagao to continue operations at the original site in Fenggang, Dongguan. After the acquisition is completed, the Group plans to increase investment in the LSR business to expand related production and business scale.
Leveraging the Group's financial strength, customer network and corporate management level, it is believed that this acquisition will create synergies to drive the execution of the LSR business strategy and the Group's long-term development, and will also help consolidate the Group's position as a "world-leading one-stop injection molding solution supplier".
Business Scope
Component Solutions
