Aug. 21 – Although it is summer holiday time at this moment in August, there is no holiday time for China invests in Europe 2015, besides update deals Czech and Germany, three significant deals have been made between Chinese companies and European companies in Italy, UK and Norway between 11th -17th August, 2015.
China update deals with Italy – Date: 11 Aug 2015, Vanward Electric to set up a Sino-Italian joint venture. Guangdong Vanward Electric Co., Ltd. (Vanward) announced on August 10 that it signed a Memorandum of Understanding with Italy’s leading kitchen appliance manufacturer to set up a joint venture in 2016. According to the announcement, Vanward Electric will own 70% of the joint venture, while the Italian company will own the remaining 30%. The Italian counterpart of the deal has yet to be disclosed, but according to Vanward, it is a world leading kitchen appliance manufacturer that enjoys good reputation for its kitchen ventilation expertise. Founded in 1993, Vanward is leading gas and kitchen appliances manufacturer in China. According to Vanward, this partnership is expected to improve its technical strength and boost market share through the advanced managerial experience from its Italian counterpart, while helping their Italian partner expand into China.
China update deals with UK – Date: 11 Aug 2015. HK CTS Hotels acquires Kew Green Hotels for GBP 400m – According to UK Property Weekly, HK CTS Hotels Co., Ltd. bought the full control of the UK’s Kew Green Hotels for GBP 400m on 8 August 2015. This deal represents the largest ever acquisition of a UK hotel group by a Chinese firm. Founded in 2001, Kew Green Hotels owns 44 hotels in the UK under the Holiday Inn, Holiday Inn Express, Crowne Plaza, Ramada and Marriott brands, and manages a further 10 hotels for other owners, including The Grand Brighton and Richmond Hill. HK CTS Hotels Co. Ltd., a wholly-owned subsidiary of China National Travel Service Group Corporation, manages a mix of hotels under a number of different brands, including the Grand Metropark (five-star luxury hotel), Metropark (four-star business travel hotel), Traveler Inn (business travel hotel) and Traveler Inn Express (budget hotel).
China update deals with Norway – Date: 17 Aug 2015, Shandong Offshore to acquire Northern Offshore for $165M. Shandong Offshore Equipment Co., Ltd., a subsidiary of Shandong Ocean Investment Co., Ltd., recently acquired Northern Offshore Ltd. (NOF) for USD 165m in a deal implemented through its overseas capital operation arm Shandong Offshore International Company Limited. Northern Offshore, a company registered in Bermuda and listed on the Oslo Stock Exchange, specializes in offshore oil & gas drilling operations, and was owned by Norway’s wealthiest man John Fredriksen before this acquisition. Shandong Offshore Equipment is expected to have gained ten drilling rigs and one production platform through this transaction, an important step towards building a high performance offshore drilling operation to help strengthen its competitiveness in the oil sector. According to Tromod Nilsen, Shandong Offshore Equipment’s Legal Advisor for this transaction, Chinese investors and companies are seeking to invest in Norwegian companies partly due to the low price of oil and a weakened Norwegian krone, and partly because Chinese firms expect to gain access to cutting-edge technology through such acquisitions.