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Kuka and Midea sign investment agreement

Staff writer |
German robotics maker Kuka has signed an investor agreement with Chinese bidder Midea that includes a long-term commitment to keep its existing headquarters, factories and jobs, Kuka said.

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Under the agreement which is for 7-1/2 years, Midea has committed not to embark on any corporate reorganization of Kuka.

The Chinese company has also promised that it will not take any action that would lead to a delisting of Kuka, the German company said.

Midea made a 4.5 billion-euro ($4.97 billion) bid for Kuka last month, which caused a furor among German politicians. Midea has since said it would allow Kuka to operate independently and help it to expand in China.

The offer makes Kuka the biggest German industrial technology company to be targeted by a Chinese buyer in a wave of deals in recent months.

Kuka said in a separate statement that both its management and supervisory boards recommended the Midea offer and viewed the 115 euros-a-share offer as "fair".

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