Representatives from Oerlikon, the Jinsheng Group and the China Development Bank (CDB) recently signed a Cooperation Framework Agreement (CFA). With this agreement, CDB will provide the financing to the Jinsheng Group for the acquisition of the Natural Fibers and Textile Components Businesses from Oerlikon. The ceremony took place in the German Chancellery in Berlin in the presence of Angela Merkel, Chancellor of Germany, and Li Keqiang, Premier of the People’s Republic of China. Other companies attending the ceremony were Siemens, VW, BMW and BASF.
The agreement to divest Oerlikon Textile’s Natural Fibers and Textile Components Business Units to the Jinsheng Group of China was signed on December 3, 2012: «I am very pleased that with this agreement we made another major step forward towards the closing of this strategic transaction», said Oerlikon CEO Jürg Fedier. Closing is expected in Q2 2013 subject to the merger control approval by the Chinese Ministry of Commerce (MOFCOM). This strategic divestment will allow Oerlikon to focus on its manmade fiber business.