Deals & Dealmakers - 13th January 09
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clpstaff &clp articlesA closer look at the latest deals completed in China
Acorn buys Chinese equipment company
Acorn International has acquired Yiyang Yukang Communication Equipment, a Chinese domestic communication equipment producer and distributor. The deal will give Acorn access to a new pipeline of mobile phone products and strengthen its distribution capabilities in China.
A wholly-owned subsidiary of Acorn, a multi-platform marketing company, made the acquisition for US$6.7 million in cash and more than 2.5 million ordinary shares. It will pay out up to US$44.1 million in a combination of cash and ordinary shares if Yiyang Yukang meets certain earnings targets.
A Shanghai-based team from O'Melveny & Myers represented Acorn, while local PRC firm Concord & Partners advised Yiyang Yukang on the deal.
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