FRIWO, an international manufacturer of high-quality chargers, power supply, battery packs and LED drivers, has closed the acquisition of a production site for converters and chokes from Group Intellect Power Technology Limited (GIP), Hong Kong, as agreed on December 8, 2016. The new factory is located in an industrial park near Ho Chi Minh City in close vicinity to FRIWO's factory, established in 2015.
After satisfaction of all conditions, the acquired business activities have become FRIWO's property with effect from January 4, 2017. The final purchase price for the transaction reads about mill. USD 3.4. With this acquisition FRIWO expands its value chain and manufactures an important component for its products in-house. Due to the value chain's enhancement and simultaneous synergy effects, generated by the merger of both factories in Vietnam, FRIWO expects an additional positive contribution to consolidated earnings before interest and taxes (EBIT) of more than euros 1 million in 2017.