On June 20, Bohai Automotive Systems Co., Ltd. (“Bohai Auto”) announced that it has recently received the “Overseas Investment Project Filing Notice” issued by the Shandong Provincial Development and Reform Commission and the “Enterprise Overseas Investment” issued by the Shandong Provincial Department of Commerce. Certificate, valid for 2 years.
The company previously announced that its wholly-owned subsidiary, Bohai Automotive International Co., Ltd. (“Bohai International”), intends to acquire the holding subsidiary BOHAI TRIMET Automotive Holding GmbH (Chinese name: Bohai TRIMET Automotive Holding Co., Ltd., referred to as “Bohai TRIMET Automotive Holding Co., Ltd.”) in cash. “BTAH”) 25% equity. After the acquisition, Bohai International will hold a 100% stake in BTAH.
It is understood that in 2018, Bohai Auto completed the acquisition of 75% equity of BTAH through Bohai International, an overseas special purpose company invested and established by its subsidiary, Binzhou Temai Auto Parts Co., Ltd. (“Binzhou Temai”). BTAH thus became Bohai International holding subsidiary.
BTAH is a well-known European automotive lightweight aluminum alloy parts research and development and manufacturing enterprise. It has leading aluminum alloy casting technology and independent mold design and development capabilities. Its main products include engine parts, chassis parts and body structural parts, which are mainly supplied to Europe. Major OEMs and Tier 1 suppliers, major customers include BMW, Volkswagen, Audi, Daimler, Bentley, Ford, Kia, Magna, etc.
Bohai Automobile said that after the completion of this transaction, it will help the listed company to strengthen the integration of internal resources, improve the ability of sustainable development, and enhance the company’s core competitiveness in the lightweight field. In addition, BTAH has strong technical strength in lightweight aluminum alloy auto parts and a mature and stable relationship with mid-to-high-end customers, which can provide a solid foundation for the company’s product line and market expansion. The company will take this opportunity to further deepen the integration and development, strengthen technology input and system coordination, fully realize the efficient and coordinated operation of BTAH and Hainachuan (Binzhou) Lightweight Auto Parts Co., Ltd., and further improve and improve product development, mold design, and technical processes. We will continue to optimize product structure and expand market share.
Bohai Automotive Systems Co., Ltd. was established in 1999 and listed on the Shanghai Stock Exchange in April 2004. The company is mainly engaged in the design, development, manufacture and sales of pistons and components, special CNC machine tools, lightweight auto parts, automotive hubs, automotive air conditioners, shock absorbers, exhaust systems, fuel tanks, start-stop batteries and other products. The industrial layout of automotive powertrain, chassis assembly, and heat exchange system has been developed, and new energy vehicle parts have been tested.