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Overview

Chinese bank provides loan to Ningbo Joyson Electronic Corp. to facilitate its acquisition of Quin GmbH for €93 million EUR

Commitments (Constant USD, 2023)$88,577,373
Commitment Year•2014Country of Activity•GermanyDirect Recipient Country of Incorporation•China (People's Republic of)Sector•Industry, Mining, ConstructionFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Dec 15, 2014
Start (actual)
Jan 27, 2015
End (actual)
Jan 27, 2015

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% Chinese ownership

Funding agencies

State-owned Commercial Banks

  • Unspecified Chinese State-owned Bank

Receiving agencies

Private Sector

  • Ningbo Joyson Electronic Corporation (Joyson Electronics)

Loan description

Chinese bank provides loan to Ningbo Joyson Electronic Corp. to facilitate its acquisition of Quin GmbH for €93 million EUR

Interest type•Unknown

Narrative

Full Description

Project narrative

Upon the approval of the Board of Directors of Quin GmbH on December 15, 2014 and the 1st extraordinary shareholders' meeting on February 12, 2015, Ningbo Joyson Electronic Corp. acquired a 100% equity stake in Quin GmbH (headquartered in Reutersheim, Germany) by raising funds through non-public offering of shares. As of January 27, 2015 (German time), the transfer of 75% shares of Quin GmbH was completed. To support the transaction, an unspecified Chinese bank provided a loan in 2015 to Ningbo Joyson Electronic Corp. to facilitate its acquisition of Quin GmbH for €93 million EUR.

Staff comments

1. Quin is a company that produces trims, steering wheels, and airbag caps for the automotive industry. It is located in Rutersheim, Germany. 2. More research is needed to identify the Chinese bank that provided the acquisition loan. 3. The face value of the M&A loan is unknown. However, given that the total cost of the acquisition was EUR 93 million and M&A loans often cover 70% of the total cost of the acquisition, AidData assumes for the time being that the face value of the loan was roughly equivalent to EUR 65.1 million. This issue warrants further investigation.