Ubtech Robotics to acquire Shenzhen-listed Zhejiang Fenglong Electric for 1.6b yuan

Humanoid robot maker Ubtech Robotics (9880) said it will acquire around 43 percent of Shenzhen-listed Zhejiang Fenglong Electric for about 1.6 billion yuan (HK$1.77 billion), aiming to accelerate its development and commercialization of humanoid robots.

Ubtech will purchase 29.99 percent shares via a share transfer, followed by a voluntary partial offer to buy 13.02 percent shares, both priced at 17.72 yuan per share.

Zhejiang Fenglong Electric is principally engaged in the research and development, production, and sales of garden machinery engines and electric complete units, hydraulic control systems, and automotive components. 

The robot maker said this acquisition is expected to strengthen its overall product competitiveness, cost structure, market reach, and ability to scale into mass production, and Zhejiang Fenglong Electric will become its first subsidiary listed in the A share market.