KIBBUTZ AMIAD, Israel, Oct. 12, 2010 -- Amiad Filtration Systems (LSE: AFS) (www.amiad.com), the producer and global supplier of water filters and filtration systems for the industrial, municipal and irrigation markets, announced today that it has acquired the remaining 50% of its Chinese subsidiary, Yixing Taixing Environtec Co. Ltd., for $3.1 million.
The acquisition is expected to help Amiad expand its foothold in China and is aligned with the company's current global expansion strategy, including the recent acquisition of competitor Arkal.
"By fully incorporating Taixing into our company, we are furthering our ability to provide our Chinese customers with the market's most innovative, efficient and affordable water filtration technologies," said Arik Dayan, CEO of Amiad Filtration Systems.
Yixing Taixing Environtec Co. Ltd.'s current management team, led by Deputy Chairman Mr. Bolong Hsu, will remain in place, ensuring a smooth and seamless transition.
Headquartered in Yixing, Yixing Taixing Environtec Co. Ltd includes five regional offices across China, as well as in-country manufacturing facilities, increasing Amiad's ability to target new customers and allowing Amiad to produce its filtration systems locally. The ability to manufacture in China is expected to allow Amiad to significantly reduce prices on the products it sells to its Chinese customers.
"This acquisition is well-aligned with our long-term geographical expansion growth strategy," Dayan added. "The existing infrastructure of Taixing will allow us to penetrate new markets in China, particularly the industrial and municipal sectors."
###
