Greenaway Scott advise Imspex Diagnostics on acquisition of a controlling interest by Chinese compan
December 7, 2016
Greenaway Scott recently advised on the sale of a majority shareholding in Imspex Diagnostics Ltd. (Imspex) to Jinan Hanon Instruments Ltd. (Hanon).
Imspex is a UK analytical instrumentation provider and owner of 90% of Gas GmbH. Hanon is a leading Chinese manufacturer of analytical chemistry instrumentation based in Jinan, Shandong Province, China.
In virtue of the strategic agreement between Imspex and Hanon, Hanon has acquired a controlling interest in Imspex's share capital, which also gives it control of Imspex's subsidiary, GAS GmbH. In addition, the parties expect to explore significant synergies in the Research, Development, Manufacturing, Marketing and Sales of their respective product lines.
This will give Imspex the opportunity to access the Chinese market. Santi Dominguez, CEO of Imspex, commented on the announcement: "We are very excited to have closed this deal with Hanon. Hanon is a significant player in the analytical chemistry market in China. They are a strong, well-funded company, with outstanding state-of-the-art manufacturing and R&D facilities. This alliance will provide the Imspex/Gas Group with the stability and resources we need to further develop our markets for our very high quality range of instruments. We expect this deal to provide excellent access to the Chinese market for our range of products, to provide us with a wider product range developed by Hanon, and to allow us to leverage the outstanding manufacturing and R&D capabilities Hanon has. This is a major event in the development of our company, and we look forward to a bright new future, and to work closely with our new Chinese partners."
Sunny Wang Chairman of the Board of Directors of Hanon, commented: "The acquisition of an interest in the Imspex Group is a major step in the internationalization of Hanon. This is our first overseas acquisition and we are very excited by the technology and expertise of Imspex/Gas, which is very well aligned with our current business focus. We believe it will prove very successful in our Chinese markets, and we very much look forward to the opportunities to support the development of the company in its current markets".
This investment was a significant return for Imspex investors. Tim Mills, Investment Director at the Angel CoFund, one of the Venture Capital investors in Imspex, commented: "The deal between Imspex and Hanon is a significant step towards a very exciting future for both businesses. The deal is strategically important for Imspex as they look to expand into the Chinese market, something that would be difficult for them to do without a partner like Hanon to provide a strong footing for success in the Asian arena. The deal also provides the Angel CoFund a good return on our investment, which, with the circular investment model of the CoFund, means that we can re-invest into other exciting British businesses – so it's positive news for the UK entrepreneurial ecosystem."
Matthew Sutton of Greenaway Scott, said: "It is exciting to continue be part of Imspex's growth. As a long term client we are delighted to continue working alongside them through this period of expansion into the Chinese market and beyond".