KONE Corporation, press release, August 25, 2016
KONE will acquire the remaining 20% stake in GiantKONE Elevators Co., Ltd. ("GiantKONE") from Zhejiang Giant Holdings Co., Ltd. ("Giant Holdings"). The acquisition price is approximately EUR 180 million. The transaction will be closed after receipt of relevant authority approvals. Following this transaction KONE will increase its shareholding in GiantKONE from 80% to 100%.
KONE has fully consolidated GiantKONE in its consolidated financial statements since December 2011, and therefore the acquisition will not have an impact on KONE's sales or operating income.
KONE operates in China with two separate brands, the KONE brand and the GiantKONE brand. GiantKONE is a major elevator and escalator company with nationwide operations in China. KONE began co-operation with Giant Holdings in the form of a joint venture in 2005.
Related releases are available at www.kone.com/press including:
December 1, 2011: KONE completes the increase of its shareholding in GiantKONE from 40% to 80%
May 9, 2011: KONE to strengthen its position in China by increasing its ownership in Giant KONE to 80%
For further information, please contact:
Katri Saarenheimo, Director, Investor Relations, tel.+358 204 75 4705
Henrik Ehrnrooth, President and CEO
Klaus Cawén, Executive Vice President, Legal Affairs, M&A and Strategic Alliances and Russia
At KONE, our mission is to improve the flow of urban life. As a global leader in the elevator and escalator industry, KONE provides elevators, escalators and automatic building doors, as well as solutions for maintenance and modernization to add value to buildings throughout their life cycle. Through more effective People Flow®, we make people's journeys safe, convenient and reliable, in taller, smarter buildings. In 2015, KONE had annual net sales of EUR 8.6 billion, and at the end of the year close to 50,000 employees. KONE class B shares are listed on the Nasdaq Helsinki Ltd. in Finland.