Hisense publishes takeover bid for Gorenje
No success threshold has been set for the takeover offer, which was published in today's Delo and is open until 26 June.
Hisense said in a statement today that it would preserve the "stability of management and jobs" at Gorenje and strive for long-term development of the company, whose seat would remain in Velenje.
It also plans to keep the name and all brands of the company.
Hisense, which plans to finance the takeover fully from own sources, is counting on "important strategic synergies".
While Hisense has a strong presence in western Europe, Gorenje is strong in Germany, Scandinavia and central and eastern Europe.
By combining its production facilities and orders with Hisense's, Gorenje could produce not only its own brand name products but also kitchen appliances, refrigerators, washing machines, televisions and air conditioners of Hisense's brands for the European market, the Chinese group said.
Hisense also plans to boost Gorenje's R&D department, as Hisense annually invests 5% of revenue in R&D. "We plan to make Gorenje the group's R&D and production centre in Europe," Hisense said.
Hisense, which already owns 32.95% of Gorenje, published its intent for the acquisition of the Velenje-based company on 11 May.
Gorenje had been searching for a strategic partner to support its efforts for a long-term and sustainable growth and development.
Before Hisense entered Gorenje, the company's single biggest owner was the state-owned KAD fund (16.37%), followed by International Finance Corporation, a member of the World Bank group (11.8%), and Panasonic (10.74%).
KAD will not sell its stake, as Gorenje is not slated for sale in the national strategy on asset management.
Hisense is one of the world's biggest makers of TV and household appliances with production facilities around the world, including in Europe. According to the company's webpage, Hisense employs around 75,000 people in more than 20 subsidiaries.