December 23, 2020 – Chilisin Electronics Co., Ltd. and Kaimei Electric Co., Ltd. held a board meeting today to approve the cash-based subsidiaries in the equity transfer case. Chilisin expects to acquire 100% of the equity of Bothhand Co., Ltd., a subsidiary of Kaimei, for NT$2.8 billion in cash, and Kaimei expects to acquire the subsidiary of Chilisin, Ralec Co., Ltd. (hereinafter referred to as Ralec) 100% equity, for NTS5 billion in cash. The two parties are expected to complete the transaction before the end of January 2021.
In recent years, Chilisin and Kaimei have actively expanded their business footprint through mergers and acquisitions. After gradually deepening post-merger management and reviewing the operation of each business entity, both parties clearly recognize that continuous focus on their core technologies will enhance corporate competitiveness and efficiency. Therefore, “resource integration and focus” will be one of the company’s future development priorities.
Chilisin is a professional manufacturer and service provider of inductor components, with long-term focus on the research and development and manufacturing of inductor and wire-winding technology, and gradually moving towards the goal of becoming the world's largest inductor component manufacturer, while Bothhand focuses on the manufacturing and developing of networking transformers and wire-winding technology. In the near future, after Chilisin incorporates Bothhand into its subsidiary, the R&D resources of wire-winding technology can be integrated more efficiently and the scale of production and manufacturing will be expanded to provide customers with more complete product solutions; Kaimei has standard mass production capability and the industrial advantage of real-time manufacturing management that is complementary to Ralec’s industrial characteristics and product applications. The combination of the two will enable the sales channel and production management to achieve the best synergy, and further expand operations through the complementary benefits of products and clients scale.
Through this equity transfer, Chilisin and Kaimei will focus more on the research and development of core technologies and the development of high-value-added products, and give full play to the comprehensive effects of integration in channel, technology, process and management, and on the product and market sides to complement each other, maximize the efficiency of resource utilization in all aspects, continue to provide customers with all-round component solutions, and effectively enhance the overall corporate value and shareholder rights/benefits.
About Chilisin
Established in 1972, Chilisin is a professional manufacturer and service provider of inductor components, dedicated to the provision and service of all-round inductor solutions. For more information, please check http://www.chilisin.com
About Kaimei
Kaimei was established in 1978 as an aluminum electrolytic capacitor factory. It has accumulated years of technical foundation in the field of capacitors. It develops various series of electrolytes and simultaneously develops capacitor products with various electrical characteristics. Its application scope covers all kinds of electronic industry and industrial products. For more information, please visit https://jamicon.teapo.com