Inergy Automotive Systems and the State Development Investment Corporation (SDIC) of the People’s Republic of China have signed a Memorandum of Undertsanding whereby Inergy would acquire a majority stake in the Yangzhou Yapp Automotive Plastic Parts Company.
The State Development Investment Corporation is the largest state-owned investment holding company of the People’s Republic of China and is the controlling shareholder of Yangzhou Yapp.
The transaction is subject to a number of conditions and scheduled to be completed in the second half of 2005, pending relevant government approvals.
With a turnover of some 50 million Euros in 2004, Yapp is China’s leading plastic fuel systems manufacturer, with production sites in Yangzhou, Shanghai and Tangshan.
Inergy Automotive Systems, a Tier One supplier of complete plastic fuel systems and fluid storage technologies, was founded through a 50/50 joint venture between the French company Plastic Omnium and Solvay SA, the Brussels-based international chemical and pharmaceutical group.