A major United States welding company yesterday announced it would acquire controlling stakes in three welding businesses in China, its fastest-growing market.
Lincoln Electric Holdings, based in Ohio and listed on Nasdaq, said it would take a majority stake in three companies, two in Shanghai and one in north China. It previously held minority stakes in the three, one with Tenwell Development of Singapore and two with Kuang Tai Metal Industrial.
The acquired entities will have a combined revenue this year of US$55 million.
Lincoln Electric also owns 48 per cent of Jinzhou Jin Tai MIG, a joint venture with Kuang Tai, and this stake remains unchanged.
The venture had revenues last year of US$65 million and is the leader in the MIG wire market in China.
Lincoln Electric is a world leader in the design, development and manufacture of arc-welding products, robotic arc-welding systems, plasma and oxyfuel cutting equipment.
Chief executive Anthony Massaro said China accounted for US$110 million of the company's annual global sales of $1.1 billion.
