AP Henderson Group has announced that it has signed a Letter of Intent with Hyundai MultiCAV Shanghai Co., Ltd. (HMSC) to acquire 100% of its current operations in Shanghai, China, and 83,888 square meters (approximately 902,963 square feet) of factory building located in Shandong, China.
APHG is to acquire all assets and operations of Hyundai MulitiCAV Computer Shanghai Co., Ltd., including 500 acres of land use rights and 83,888 square meters of factory building located in Shandong, China. The acquisition is a strategic fit for APHG as HMSC is a joint venture with the Hyundai MultiCAV, a major computer and network electronic manufacturer in Korea.
Following the transaction, APHG intends to establish eight new production lines in the Shandong factory acquired from HMSC to expand its current production capacity. APHG intends to utilize the assets and operations acquired from HMSC to manufacture and sell APHG's patented multi-screen Slide View laptop notebook computer design, X-panel. According to the LOI, one of HMSC's current shareholders, the Hyundai MultiCAV of Korea (HMC), plans to migrate 80% of its OEM production to these factories in China over the next five years. APHG, acting as HMC's contract manufacturer, intends to conduct the contract manufacturing from the Shanghai and Shandong factories to be acquired from HMSC. The transaction is subject to completion of due diligence, execution of a definitive agreement and any regulatory approvals. Both companies intend to close the transaction within a timely fashion.