Changyuan Group (CYG Group) has acquired Shanghai Yin Science & Technology Company (Yin Group), a textile machinery manufacturer, at a cost of around Yuan 1.88 billion made to the 16 shareholders of Yin to buy 48 million shares, accounting for 80 per cent of the total equity shares. Changyuan Group is a China-based company principally engaged in the manufacturing and distribution of heat shrinkable materials, power grid equipment and circuit protection components. The group, which has 7 manufacturing bases and employs 6,400 people, is growing under the leadership of Xu Xiaowen, Chairman of the Board. It also claims to be No. 1 in China and second in the world in selling heat shrink tubing in the fields of automobiles, electronics and high-speed rail.
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Yin Group is known for CNC cutting equipment, and garment hanging storage system and automatic spreading machine. Besides, it is famous for digital equipment solutions for pre-sewing, sewing, and post-sewing clothing technology. It is one of the few Chinese companies that have IPR (Intellectual Property Rights) of CNC cutting machines.
The takeover will give an edge to CYG Group’s long-term development strategy of ‘intelligent equipment factory positioning’, not only that, CYG’s existing smart factory equipment subsidiary Zhuhai Intelli will also get synergistic effect.
The company’s revenue stood at Yuan 477 million last year while net profit was Yuan 112 million.