Source: Candy Group

Qingdao, China - September 28, 2018 - Qingdao Haier Co., Ltd. (SHA: 600690, “Qingdao Haier”) and Fumagalli family have announced a deal to combine the operations of Haier and Candy S.p.A (“Candy”). Under the agreement, Haier will invest 475 millions € to further accelerate its growth in the European market.
Post deal closing, Haier's European headquarter will be based in Brugherio, Italy. Haier will continue to invest in Candy to enhance its competitiveness in Europe and globally. By joining forces with Candy's management team, Haier aims to expand its leadership in smart home appliances in Europe in the current era of the Internet of Things (“IoT”) and to provide high-quality products and customer service to European and global customers. This investment is an important milestone in Haier's global development strategy. Both boards of directors are supportive of the deal.
Qingdao Haier, a global Fortune 500 company, owns six global brands, including Haier, GE Appliances, Fisher & Paykel, AQUA, Casarte and Leader. Qingdao Haier’s global leading position is built on its global strategy and domestic brands. According to Euromonitor, a global market research institute, 2017 marked Qingdao Haier’s ninth consecutive year as the world's largest domestic appliance brand in terms of global sales.
Qingdao Haier and Candy are highly complementary in brand and product portfolios, as well as supply chains. The combination is expected to further enhance both sides’ competitiveness in the European and global markets, and to enable them to better meet customers’ increasingly sophisticated demands for personalized products. The innovation and synergies between the two companies in smart home appliances will also bring a totally new customer experience. This investment in Candy demonstrates Qingdao Haier’s commitment to the European and global markets and is another
milestone in Haier’s continued efforts to drive synchronized development globally. Post deal closing, Haier's house of brands, including Candy/Hoover/Rosières, will continue to achieve global synergies and to promote Haier's innovation, as well as to upgrade the European and global home appliance markets.
Liang Haishan, Chairman of the Board of Directors at Qingdao Haier Co., Ltd. said, “In the era of IoT and leveraging its strong R&D capabilities, Candy Group is dedicated to applying network technologies to traditional home appliances, which perfectly aligns with Haier’s “Eco-brand” strategy. We believe this transaction marks the beginning of a successful strategic cooperation between Haier and Candy Group, which will not only unlock the potential of the smart home appliance market, but also inspire the sector to continue to upgrade in order to improve customer experience.”
Beppe and Aldo Fumagalli said “We look forward to joining Haier. Qingdao Haier and Candy share the same vision, which is to continue to improve the quality of family life. We believe that Candy’s innovation capabilities and Italian design, technology and style will fit perfectly with Qingdao Haier’s operating model. Together, we will better meet the increasing demands for more individualized products, and make people’s lives better and easier.”
The transaction is expected to complete by early 2019. It is still subject to regulatory filings, approvals and other customary conditions with relevant domestic and foreign government authorities.