BENTON HARBOR, Mich.,
Sept. 15, 2014 /PRNewswire/
-- Whirlpool Corporation (NYSE: WHR) received today written
approval from the China Securities Regulatory Commission (CSRC) to
acquire a 51 percent stake in Hefei Rongshida Sanyo Electric Co.,
Ltd. (SHA: 600983). This is the final key regulatory approval
required in the acquisition process.
"We are pleased to receive the CSRC's written approval to
proceed with the Hefei Sanyo acquisition," said Jeff Fettig, chairman and CEO of Whirlpool
Corporation. "This is a significant milestone in bringing our
companies together, and we look forward to delivering increased
value for the Chinese consumer and leveraging our global enterprise
for greater efficiencies."
The transaction is now expected to close at the end of the third
quarter or early in the fourth quarter of 2014, pending final
administrative processes and approvals.
The investment includes Whirlpool's commitment of capital and
technical resources to enhance Hefei Sanyo's research and
development and product innovation capabilities. This acquisition
is in line with Whirlpool's long-term strategy to grow its position
in the emerging Chinese market. It will also give Chinese consumers
a broader range of innovative, high-quality products through a
complementary, trusted portfolio of brands.
Whirlpool anticipates that the closure of the acquisition will
not have a material impact on its earnings and cash flow outlook
for 2014. Whirlpool continues to expect the transaction to be
accretive in the first full year of integration.
About Whirlpool Corporation
Whirlpool Corporation is the world's leading global manufacturer
and marketer of major home appliances, with annual sales of
approximately $19 billion in 2013,
69,000 employees and 59 manufacturing and technology research
centers around the world. The company markets Whirlpool, Maytag,
KitchenAid, Jenn-Air, Amana, Brastemp, Consul, Bauknecht and
other major brand names. Additional information about the company
can be found at http://www.whirlpoolcorp.com.
About Hefei Sanyo
- Year established: 1994
- Headquarters: Hefei, Anhui
Province
- Financials: Hefei Sanyo reported revenue of $866 million, and net earnings of
$59 million for full year
2013.
- Number of employees: approximately 15,000
- Chairman: Jin Youhua
- Main Brands: Sanyo, Rongshida /Royal Star and Diqua
- Main Products: washer, refrigerator, microwave oven
- Number of manufacturing bases: three
- Sales networks: large nationwide distribution network in
China
- Listing: Listed on the Shanghai Stock Exchange since
July 2004 (Ticker: 600983)
- Current major shareholders: Hefei
State-owned Assets Holding Co., Ltd (33.57%), Sanyo Electric
Co., Ltd. and affiliated companies (29.51%)
Whirlpool Additional Information
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS
Certain statements in this current report relating to the
acquisition of shares of Hefei Sanyo, the anticipated benefits of
the transaction, and Whirlpool's 2014 outlook constitute
"forward-looking statements" within the meaning of the federal
securities laws. These statements reflect management's current
expectations regarding future events and speak only as of the date
of this current report. Forward-looking statements involve
significant risks and uncertainties, should not be read as
guarantees of future performance and will not necessarily be
accurate indications of whether or not, or the times at or by
which, events will occur. Actual performance may differ materially
from that expressed or implied in such statements. Important
factors that could cause actual results to differ materially from
these expectations include, among other things, the risk that the
remaining closing conditions in the Share Purchase Agreement and
Share Subscription Agreement will not be met, the risk that the
transaction will not close at the end of the third quarter or early
fourth quarter of 2014, the risk that the transaction will not
achieve its anticipated benefits, and the risk that Whirlpool will
not achieve its outlook for the full year 2014 or that the
acquisition will not be accretive beginning in 2015. In
addition to these risks, reference should also be made to the
factors discussed under "Risk Factors" in Whirlpool Corporation's
periodic filings with the Securities and Exchange Commission.
Although the forward-looking statements contained in this current
report are based upon what are believed to be reasonable
assumptions, investors cannot be assured that actual results will
be consistent with these forward-looking statements, and the
differences may be material. These forward-looking statements are
made as of the date of this current report and, except as expressly
required by applicable law, Whirlpool Corporation assumes no
obligation to update or revise them to reflect new events or
circumstances.
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SOURCE Whirlpool Corporation