Huayi acquires US manufacturer
1 November 2002
A Chinese manufacturer has taken over the operations of an American rechargeable batteries company that had filed for Chapter 11 protection last year. The Shanghai-listed Huayi Group will continue the operations of Moltech Power Systems in Florida, the UK and Mexico under existing management, said the New York Times. Some of Moltech's businesses, such as a plant in Guangzhou, will be consolidated into Huayi's operations. A new plant will be opened in Shanghai.
Officials from both companies said this was a rare example of a state-controlled conglomerate seeking to acquire and operate a foreign business globally. Huayi now has 218 manufacturing businesses worldwide, and its main products include chemicals, tyres, printing materials and batteries.