Rofin-Sinar Technologies Inc., a developer and manufacturer of laser beam sources and laser-based solutions, has announced it will acquire 80% of the share capital of China-based Nanjing Eastern Laser Company Ltd. (NELC) in two separate transactions.
In one transaction, which was processed through a Chinese equity transfer center's formal bidding process, the company will acquire 35.2% of NELC's share capital from Nanjing Sanle Group Co. Ltd. Rofin-Sinar was the only bidder when the bidding period ended on September 3. In a second transaction, Rofin-Sinar acquired an additional 44.8% of the share capital of NELC from SIDA Corp. (USA). Both transactions will be funded with Rofin-Sinar's existing cash position and are expected to close within 4-6 weeks. Further terms of the acquisition have not been disclosed.
Jointly established by Nanjing Sanle Group Co. Ltd. (China) and SIDA Corp. in 1993, NELC has had two decades of experience in the Chinese laser market. The company has maintained a close cooperation with Rofin-Sinar since 1993 and has been authorized to manufacture SM COB2 Blasers using Rofin's technological know-how since 2004.
The company's product lines are largely comprised of high power, fast-axial flow COB2B
lasers, with a power range of up to 3kW as well as NC-based laser processing equipment. NELC has ~70 employees and is ISO 9001-2000 certified. NELC will continue to operate as a stand-alone company and market its products through its own sales network to its primarily Chinese customer base.
"We are very pleased to add NELC to the Rofin group, as we have found a reliable partner with long-standing expertise in the manufacture of COB2B laser technology in the Chinese market. Through this acquisition, we will broaden our manufacturing capacities. We are confident that the talent and skills of Nanjing Eastern Laser's employees will further strengthen our market position in China," commented Günther Braun, CEO and president of RSTI.
"We are happy and proud to team up with Rofin, a market leader in industrial laser manufacturing. Becoming a part of such a large company will open up new resources for NELC in terms of technology know-how and investment, both of which will enhance the potential expansion of our business," added Dr. Su-Don Hong, president of Nanjing Eastern Laser Company Ltd.