Chinese conglomerate Fosun International has agreed to acquire Germany-based automated and flexible production systems provider FFT GmbH & Co. KGaA (FFT) for a still undisclosed amount.
In a statement, Fosun said it will acquire FFT from ATON GmbH, a German family-owned private investment firm, through the funds managed by Fosun, giving FFT access to the Chinese firm’s global network and China’s booming markets.
Founded in 1974 and headquartered in Fulda, Germany, FFT provides complete vehicles and production plants for first-line original equipment makers (OEMs) in Germany, the USA, Japan, China and other countries.
It assumes the responsibility for the implementation of complete production plants, such as body-in-white production and assembly lines. In 2017, FFT recorded revenues of over €850 million ($984 million) and employed over 2,600 people.
Fosun said the acquisition boosts its strategy of investing in companies that support “makers” and have strong market positions.
“Through this acquisition, Fosun significantly upgrades its capacity to offer new manufacturing solutions for its own portfolio companies such as Nanjing Nangang Iron & Steel United, Eurocrane, and Zhejiang XCC Group,” the company said.
FFT CEO Manfred Hahl describes the acquisition as a “logical step” to expand the company’s global profile and strengthen its presence in China.
“China, as one of the largest markets in the world, offers significant growth potential in the automotive as well as many other industries and applications. The partnership with Fosun provides us with access to a worldwide network,” Hahl said.
Fosun, listed on the main board of the Hong Kong Stock Exchange since 2007, has total assets over RMB530 billion ($82 billion) as of December 31, 2017. It is one of the most acquisitive Chinese firms in the past few years.
“Creating better products and services to customers through intelligent manufacturing and technology innovation is a key part of Fosun’s strategy. In the future, we will work closely with FFT, offering Fosun’s world-class “makers” resources, and access to China’s booming market,” said Guo Guangchang, Chairman of Fosun International.
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