Brembo has announced the closing of the transaction to acquire a 66-percent stake in the share capital of ASIMCO Meilian Braking Systems (Langfang) Co. Ltd., which took place on May 19.
ASIMCO Melian Braking Systems, based in Langfang, in the Chinese province of Hebei, owns a foundry and a plant for the manufacturing of cast-iron brake discs. This company supplies regional car makers, mainly joint ventures between Chinese companies and top European and U.S. auto OEMs.
As a result of the accounting assessments specified in the related contract, the transaction consideration was set at RMB 574,356,000 (approximately $87.6 million USD), subject to the closing-related adjustments.
The remaining 34 percent of ASIMCO’s share capital will be held by the state-owned company Langfang Assets Operations Co. Ltd., controlled by the municipality of Langfang.
ASIMCO Melian Braking System’s first quarter 2016 sales amounted to RMB 109 million (approximately $16.62 million at the average first quarter exchange rate). The company employs a workforce of 637.
